Germany's Retail Sales Rise 1.6% YoY in May Despite Monthly Decline

Germany’s Retail Sales Rise Annually But Slip on Monthly Basis in May

Mixed Retail Data from Germany Surprises Markets

Germany’s Retail Sales data for May presented a mixed bag on Monday. According to the Federal Statistical Office (Destatis), retail activity rose 1.6% year-over-year (YoY), easing from April’s revised 2.9% gain.

However, the monthly figures painted a different picture. Retail Sales unexpectedly declined 1.6% MoM, a sharp reversal from the previously reported 0.6% drop in April. Markets had anticipated a 0.5% increase, making this a significant miss.

EUR/USD Holds Steady Despite Soft Monthly Numbers

Despite the weaker-than-expected monthly figures, EUR/USD remains supported above 1.1700, as the broader trend of weakening US Dollar amid Fed rate cut expectations helps cushion the Euro.

Implications for ECB Policy and Eurozone Sentiment

While the European Central Bank (ECB) continues to eye data-dependent decisions, today’s mixed data is unlikely to trigger an immediate reaction. The annual increase may point to resilience in consumer demand, though the monthly contraction reflects ongoing volatility in retail activity amid persistent inflationary pressures.

Internal Linking Suggestions:

• Latest EUR/USD Live Chart – Tredu Forex Tools
• ECB Policy Outlook After Mixed German Data
• Eurozone Inflation and Retail Trends