Eurozone Retail Sales Edge Up Slightly in June Amid Modest Consumer Activity

Retail sales across the eurozone showed a modest uptick in June, rising by 0.3% compared to the previous month, according to fresh data released by Eurostat, the European Union’s statistical agency. The increase fell slightly short of analysts’ expectations, which had forecast a 0.4% gain, as per estimates compiled by Trading Economics.

The latest figures also included a revision of May’s retail data. Eurostat now reports a 0.3% decline for that month, adjusting down from an earlier estimate of a 0.47% decrease. The updated data reflects ongoing fluctuations in consumer spending across the 20-nation eurozone, which has been grappling with economic uncertainty, high inflation, and cautious consumer sentiment throughout the year.

Breaking down June’s performance by category, sales of food, beverages, and tobacco rose by 0.2%, signaling some recovery in essential household spending. Meanwhile, non-food products—excluding fuel—saw a more notable increase of 0.6%, suggesting consumers may be gradually returning to discretionary spending. Motor fuel sales also saw a modest increase of 0.4%, potentially indicating an uptick in travel and mobility during the summer period.

While the uptick in June provides a hint of stabilization, the overall retail environment remains fragile. Economists continue to monitor consumer trends closely, as household spending is a key driver of economic activity in the eurozone. With inflation easing slightly but interest rates still elevated, consumer behavior in the second half of the year will be crucial in shaping the region’s broader economic outlook.

The European Central Bank is expected to weigh such retail figures alongside other indicators as it assesses the need for future monetary policy adjustments aimed at supporting growth while keeping inflation in check.