UK: Markets looking for a -0.8% reading in May for retail sales - TDS

It’s going to be a busy day for UK with retail sales for May in the morning, the BoE at midday, and Mansion House this evening. Meanwhile, analysts at TDS are looking for a -1.2% drop in retail sales against the market consensus of -0.8% for the month of May.

Key Quotes

“For retail sales, the data has been extremely choppy lately and even more difficult to read than usual. In general though, markets have tended to underestimate the scale of reversal the next month in the case of large swings. So while after the 2.3% m/m jump in April, consensus is looking for a -0.8% reading in May, we would flag downside risks and look for a -1.2% drop instead.”