Retail spending growth figures misrepresented again
The Australian Financial Review reported that retail spending growth was flat in July against a 0.4% gain in the prior month, which suggests consumers may have become less willing to open their wallets amid falling house prices and weak wages growth. Additionally, the Australian dollar dipped a fifth of a US cent in response to the disappointing data. As usual, we had to dig for meaningful comparison data, turning to the ABS to find year-on-year figures (YoY). Viewed through the YoY lense, retail spending grew approximately 3.5% against July 2017. Quite a different story, isn't it?