Australia retail sales rise to 0.4 percent in April, beat estimates


Australia's consumption, as represented by retail sales, improved in the month of April, beating estimates, the Australian Bureau of Statistics (ABS) reported on Monday. The retail sales arrived at 0.4 percent month-on-month, compared to the forecast of 0.2 percent and up from previous month's reading of 0.0 percent. 

 APRIL KEY POINTS (via ABS)

CURRENT PRICES 

The trend estimate rose 0.3% in April 2018. This follows a rise of 0.3% in March 2018 and a rise of 0.3% in February 2018.

The seasonally adjusted estimate rose 0.4% in April 2018. This follows a relatively unchanged result (0.0%) in March 2018 and a rise of 0.6% in February 2018.

In trend terms, Australian turnover rose 2.6% in April 2018 compared with April 2017.

The following industries rose in trend terms in April 2018: Food retailing (0.4%), Household goods retailing (0.4%), Other retailing (0.2%), and Cafes, restaurants and takeaway food services (0.1%). Clothing, footwear and personal accessory retailing (-0.2%) and Department stores (-0.1%) fell in trend terms in April 2018.

The following states and territories rose in trend terms in April 2018: New South Wales (0.4%), Victoria (0.4%), Queensland (0.1%), the Australian Capital Territory (0.6%), the Northern Territory (0.7%), and Tasmania (0.2%). Western Australia (0.0%) was relatively unchanged. South Australia (-0.1%) fell in trend terms in April 2018.

Separately, the ABS also published the Australian company operating profits that came in at 5.9 percent q/q versus 3.0 percent expected and 2.2 percent last.

Meanwhile, Australia’s Q1 inventories arrived at 0.7 percent q/q versus 0.0% and 0.2 percent prior.

The Australian company operating profits and inventories data serve as the key input for the upcoming Australian GDP release due on the cards this Wednesday.

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