FX.co ★ Euro Area Retail Sales Rise Slightly Less than Expected

In June 2025, retail sales in the Eurozone showed a modest rise of 0.3% from the previous month, recovering from a 0.3% decline in May. This growth, however, was just shy of market forecasts, which anticipated a 0.4% increase. Notable improvements were observed across various sectors: sales of food, beverages, and tobacco ticked up by 0.2% compared to a previous drop of 0.5%; non-food product sales increased by 0.6%, recovering from May’s slight decline of 0.1%; and sales of auto fuel rose by 0.4% following a decline of 0.8%. Among the Eurozone's largest economies, retail sales saw positive growth in Germany (up 0.9% from a 0.6% decline), Italy (rising 0.4% from a 0.3% decrease), Spain (increasing 1.2% from a previous 0.4% gain), the Netherlands (marginally up by 0.1% from a 0.1% decrease), Belgium (growing 0.5% after a significant 2.5% fall), and Ireland (up by 0.5% but slightly down from a 0.7% rise in May). Conversely, France experienced a decline in retail sales by 0.9% following a period of stagnation. On a year-over-year basis, retail sales in the Euro Area increased by 3.1%, the highest since September 2024, surpassing the previous month’s 1.9% growth and exceeding expectations of a 2.6% gain.