A recovery in discretionary expenditure drove a 1.8% month-on-month increase in Australian retail sales in February 2022, according to preliminary data from the ABS. February sales were the second highest monthly sales ever and were up 9.1% year-on-year. Retail sales were 19.0% higher than in February 2020, just before the emergence of COVID. Clothing and Footwear and Department Stores were the two best performing categories on a month-on-month basis. Food sales declined month-on-month. The outlook for March 2022 retail sales looks weak, however, given the likely impact of the floods in eastern Australia and the effect of rising living costs on consumer sentiment.
Equity Analysis /
Australia