Retail sales grow at modest pace
Australians consumed more fast food and dined out often in August providing a boost to retail sales, which grew by 0.3 percent, the Australian Bureau of Statistics said.
Albeit slower than that recorded at 0.7% the previous month, the Australian Bureau of Statistics said local consumers dined more in cafes, restaurants, and patronised more takeaway food services in August.
Takeaway food from fast-food chains or at full-service restaurants posted the biggest incremental at 1.5 percent. Other retailing services moved higher to 1.4 percent, household goods retailing moved up by 0.5 percent, and Department stores' sales earned more with a 0.6 percent increase.
The statistics office noted relative declines in the purchase of clothing and footwear, which during the month.
Western Australia
Consumers in Western Australia attributed to the increase in retail and recording a 1.1 percent increase. They are closely followed by the rise in consumption noted in New South Wales and Australian Capital Territory (0.7%) each recording 0.7 percent growth. South Australia recorded a 0.1 percent and Tasmania a 0.2 percent. Retail Sales in Victoria, Queensland, and the Northern Territory declined in August.
Industry analysis
The food retailing industry at current prices, according to ABS showed upward trend in the coming months. Sales are expected to grow for supermarket and grocery stores and liquor retailing. Australians may temper buying specialized food retailed and insist on what has been the traditional buys at supermarkets and grocery stores in all territories.
The value of the Australian dollar continues to be at risk of inflationary pressures as the RBA decided to keep rates steady today.
The RBA's decision to keep interest rates at its current state, according to analysts was a bold move since it puts the country's inflation at risk of expanding higher than its targeted band between 2 to 3 percent.
"The RBA's decision to leave interest rates on hold is a sensible move that gives the Bank more time," Australian Industry Group Chief Executive Heather Ridout said in a separate statement today.