Euro area retail sales miss forecasts in May

Retail sales volumes in the single-currency bloc undershot economists' forecasts in May.

According to Eurostat, in seasonally-adjusted terms, sales volumes grew at a month-on-month clip of 0.2% (Consensus: 0.5%).

Furthermore, April's outsized 1.3% drop in sales versus the previous month was revised down to -1.4%.

Sales were dragged lower by declines of 0.2% in monthly purchases by mail order and of automotive fuel.

However, sales of food, drinks and tobacco also slipped, by 0.3% when compared with April.

Non-food product sales on the other hand reversed their April decline, jumping back by 1.2%.

Retail sales volumes in France and Spain were flat on the month, but in both countries they were coming off a bumper April.

In Germany, retail sales rose by 0.6% and in the Netherlands by 1.1%, helping to offset part of the weakness seen during the previous month.

Measures in year-on-year terms, euro area-wide retail sales were 0.2% higher (Consensus: 1.0%).