Hong Kong’s Retail Sales For September Dive 6.4%

Hong Kong’s provisionally estimated value of total retail sales in September dropped 6.4% from a year ago to HKD35.2-B (about US$4.5-B), the Census and Statistics Department said Tuesday.

For the 1st 3 Q’s of Y 2015 taken together, the value of total retail sales decreased 2.7% compared with the same frame in Y 2014.

A government spokesman said retail sales slackened further in September, with most types of retail outlet showing Y-Y declines in sales, reflecting the weakening of inbound tourism and the spillover of heightened stock market volatility during the Summer on consumer sentiment.

Looking ahead, retail sales will likely be still constrained by the weak performance of inbound tourism in the near term, and much will depend on how the dimmer global economic outlook will affect the economy and local consumer sentiment, the spokesman said.

According to the data, the value of sales of jewelry, watches and clocks, and valuable gifts decreased 22.9% Y-Y, followed by sales of wearing apparel 12.3%, fuels 11.8%, and commodities in department stores 5.1%.

On the other hand, the value of sales of commodities in supermarkets increased 1.7% in September, while the sales of food, alcoholic drinks and tobacco rose 22.8% due to the Mid-Autumn Festival.

Stay tuned…

HeffX-LTN

Paul Ebeling