2018.08.3005:47:00UTC+00Hong Kong Retail Sales Growth Eases More Than Forecast

Hong Kong's retail sales growth eased at a faster-than-expected pace in July, preliminary data from the Census and Statistics Department showed Thursday.

The value of retail sales advanced 7.8 percent year-over-year in July, slower than the 11.9 percent spike in June. Meanwhile, economists had forecast the growth to moderate to 9.7 percent.

Similarly, the volume of retail sales grew 5.9 percent annually in July, well below the 9.8 percent rise in June. The expected growth was 7.5 percent.

The value of sales of jewelery, watches and clocks, and valuable gifts grew the most by 16.8 percent annually in July. Meanwhile, sales of books, newspapers, stationary and gifts fell by 1.4 percent.

"Looking ahead, favorable labor market conditions and sustained expansion in inbound tourism should continue to support retail sales performance in the near term," a government spokesman said.

"However, consumer sentiment may turn less sanguine going forward if the external uncertainties persist or escalate further."