Here’s What the Retail Data From the Eurozone Mean
Two different reports brought mixed news about the state of the retail sector in the European Union.
Markit recently released its Purchasing Managers’ Index for retail in the eurozone for September. The average value for the region was 48.6, which is decidedly below the 50 benchmark, which would represent neither an expansion nor a contraction in the sector. Some had hoped for momentum to build after August’s value topped the 50 threshold, but they were disappointed by September’s numbers. However, the eurozone still finished the third quarter with an average value of 49.5, the highest rating for a quarter since mid-2011.
In other news, Eurostat released a report on the volume of retail trade in the eurozone during August. In support of Markit’s PMI numbers, the month was an outstanding one for retailers, posting a 0.7 percent gain from July, which itself saw a 0.5 percent increase from the previous month. The gains were mainly made in areas other than the food sector, which posted a modest decline in August. Many are now looking at Markit’s PMI report as a sign that sales for the month of September may not be as strong as some would have hoped.