June’s unexpected decline in Eurozone retail sales adds to concerns over consumer demand amid broader economic uncertainty.
Eurozone retail sales dropped 0.3% month-over-month in June, defying expectations for a modest increase. The decline signals weakening consumer spending, a key driver of economic growth in the region.
Analysts had anticipated a slight rebound following May’s flat reading, but June’s data underscores persistent headwinds. Year-over-year, sales growth remains subdued, reflecting cautious household behavior amid inflation and geopolitical tensions.
The EUR/USD pair extended losses toward 1.1500 in European trading, pressured by the weak data and a modest rebound in the USD. Markets are also monitoring US jobless claims and Middle East developments for further direction.