Australian Retail Sales: August 2023 - Treading water
About the author:
- Author name:
- By Alexander Mees
- Job title:
- Co-Head of Research and Senior Analyst
- Date posted:
- 28 September 2023, 7:00 AM
- Sectors Covered:
- Gaming and Retail
- The Australian consumer appears to have run out of steam. Retail sales for August were up just 0.2% month-on-month (m/m) which was slightly below consensus expectations of +0.3%.
- The modest change announced today follows a 0.5% m/m increase in July and a 0.8% m/m decline in June 2023. Compared with August 2022, retail sales were up 1.5% year-on-year (y/y), which was below the rate of inflation (5.2%), meaning retail turnover was down in real terms. Recent data from Westpac-Melbourne Institute showed that consumer sentiment ‘has languished at deeply pessimistic levels for more than a year’. It is the worst period of sustained weak consumer sentiment since the early 1990s.
- The ABS commented that ‘the modest rise in August shows consumers continued to restrain their retail spending’. The strongest growth was in Clothing & Footwear (+1.3%), reflecting the early arrival of warm springlike weather and additional promotional activity around Afterpay Day. Homewares were the weakest category.
Find out more
Download full research note
If you would like more information, please contact your adviser or nearest Morgans office.
Request a call
Find local branch
Disclaimer: The information contained in this report is provided to you by Morgans Financial Limited as general advice only, and is made without consideration of an individual's relevant personal circumstances. Morgans Financial Limited ABN 49 010 669 726, its related bodies corporate, directors and officers, employees, authorised representatives and agents (“Morgans”) do not accept any liability for any loss or damage arising from or in connection with any action taken or not taken on the basis of information contained in this report, or for any errors or omissions contained within. It is recommended that any persons who wish to act upon this report consult with their Morgans investment adviser before doing so.
Print this page