FX.co ★ Australia Retail Sales Rise Past Expectations to 3-Year High

In June 2025, Australia's retail sales experienced a significant increase of 1.2% on a month-on-month basis, following a revised 0.5% rise in May and surpassing market predictions of a 0.4% growth. This surge marks the most substantial monthly growth since March 2022. The upswing was primarily fueled by a recovery in food sales, which climbed by 0.9% compared to a 0.1% dip in May. Additionally, notable gains were observed in the household goods sector, which rose by 2.3% from a previous 0.6%, and in other retailing, which expanded by 1.9%, up from 0.1%. However, growth decelerated in the clothing, footwear, and personal accessories sector, which increased by 1.5%, down from 3.5%, and in department stores, with a 1.9% rise from 2.9%. Sales also fell in cafes, restaurants, and takeaway food services by 0.4%, compared to a previous increase of 0.1%. Regionally, retail trade witnessed positive growth across all states, including New South Wales and the Australian Capital Territory with 1.6% increases, Victoria and Queensland both at 1.2%, South Australia at 0.7%, Western Australia at 0.3%, Tasmania at 0.4%, and the Northern Territory at 0.8%. On an annual scale, retail sales leaped by 4.9%, reaching its peak since March 2023, and rising from a 3.5% growth recorded in May.