Børsens News Service in English
Strong increase in retail sales
01-07-2010
10:56
The Danish retail trade is again improving. After a serious decrease in April, the retail sales increased by 3.7 per cent in May.
»The Danish households continue to be optimistic and are supported by the considerable rise in the purchasing power as a result of tax reliefs and the fall in the interest rates,« said chief economist Helge J. Pedersen at Nordea in a comment.
»We may thus hope that the total private consumption has continued the positive development which we saw in the first quarter of the year, when it rose by 1.7 per cent,« he wrote.
The improvement in May covers an increase in the sale of clothing and other consumer goods, while the sale of foods and other staple goods fell slightly.
Compared to last year May is at the same level. In the non-seasonally adjusted figures there is thus a small total increase of 0.3 per cent.
»The private consumption continues to be a determining factor in the strength of the economic recovery. In this light, it was good to see that the decrease we saw in April was probably a one-off affair,« chief economist Jes Asmussen at Handelsbanken said.
»In the light of the massive stimuli for the households we are thus confident that the private consumption will reverse last year’s decrease of about 5 per cent and result in an increase this year in the range of 1.75 per cent to 2 per cent,« he added.
The economists fear, however, that the fiscal clamp-down and the government’s restoration package could lead to an increased hesitation to spend money among the consumers.
»The Danish households continue to be optimistic and are supported by the considerable rise in the purchasing power as a result of tax reliefs and the fall in the interest rates,« said chief economist Helge J. Pedersen at Nordea in a comment.
»We may thus hope that the total private consumption has continued the positive development which we saw in the first quarter of the year, when it rose by 1.7 per cent,« he wrote.
The improvement in May covers an increase in the sale of clothing and other consumer goods, while the sale of foods and other staple goods fell slightly.
Compared to last year May is at the same level. In the non-seasonally adjusted figures there is thus a small total increase of 0.3 per cent.
»The private consumption continues to be a determining factor in the strength of the economic recovery. In this light, it was good to see that the decrease we saw in April was probably a one-off affair,« chief economist Jes Asmussen at Handelsbanken said.
»In the light of the massive stimuli for the households we are thus confident that the private consumption will reverse last year’s decrease of about 5 per cent and result in an increase this year in the range of 1.75 per cent to 2 per cent,« he added.
The economists fear, however, that the fiscal clamp-down and the government’s restoration package could lead to an increased hesitation to spend money among the consumers.
*****||*****Strong increase in retail sales*****||*****The Danish retail trade is again improving. After a serious decrease in April, the retail sales increased by 3.7 per cent in May.
»The Danish households continue to be optimistic and are supported by the considerable rise in the purchasing power as a result of tax reliefs and the fall in the interest rates,« said chief economist Helge J. Pedersen at Nordea in a comment.
»We may thus hope that the total private consumption has continued the positive development which we saw in the first quarter of the year, when it rose by 1.7 per cent,« he wrote.
The improvement in May covers an increase in the sale of clothing and other consumer goods, while the sale of foods and other staple goods fell slightly.
Compared to last year May is at the same level. In the non-seasonally adjusted figures there is thus a small total increase of 0.3 per cent.*****||*****
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