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Euro zone retail sales grow quicker than expected

EURO ZONE, AUG 6 – Euro zone retail sales rose 3.1% year-on-year in June 2025, driven by strong growth in non-food products and internet retailing amid trade tensions, Eurostat reported.

  • Eurostat published data on August 6 showing retail trade volume in the eurozone and EU rose 3.1% year-on-year in June 2025.
  • This growth followed expectations of economic struggle in the second quarter due to a global trade war weighing on sentiment.
  • The increase included a 3.7% rise in sales at food stores, a 3.9% growth in the sale of non-food items, and a 2.5% uptick in automotive fuel sales, with Spain experiencing a notable 6.4% annual gain.
  • ING economists attribute the recent improvement in retail performance to strong consumer optimism despite ongoing economic challenges, underpinned by stable job markets and increasing wages in various EU nations.
  • The sustained retail growth indicates domestic consumption helps the bloc remain resilient despite inflation and geopolitical tensions that may later reduce momentum.
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FXStreet broke the news in on Wednesday, August 6, 2025.
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