Analysts at the Hong Kong and Shanghai Banking Corporation (HSBC) offer a sneak peek at what to expect from today’s UK retail sales report due later at 0830 GMT.
“UK retail sales have been strong over the summer, with the growth of 2% over the three months to August. However, the nice weather has faded, the World Cup is over and inflation rose again in August.
Even if the overall CPI inflation rate headed lower in September, the real feel of higher petrol prices may have hit spending a little. So we expect a fall back in retail sales volumes in September. Still, the y-o-y rate should remain relatively healthy.”