Retail sales have grown at a decent pace in recent months. In February, sales rose by 0.4% over the month and by 2.5% over the year, which was close to expectations.
The positive trend is expected to last throughout 2014. Favorable financial conditions in the household sector, such as solid income growth, record-high net wealth, low inflation and mortgage rates, will continue to support spending in 2014. The only concern is that consumer confidence has slipped during the past 3 months, which may hold back their willingness to spend and increase precautionary savings.
Details, February
Retail sales, y/y: 2.5 % (Nordea 1.5%, cons. 2.3%, prior 2.5 % rev. from 2.6 %)
Retail sales, m/m: 0.4 % (Nordea 0.5%; cons. 0.5%; prior 0.4 %, rev. from 0.3 %)
Nordea