Czech retail sales to continue to perform well

Despite a second consecutive mom decline in Czech retail sales (excluding cars), the headline yoy figure remaining at a high 6.7%. The March figures should round off a very strong first quarter and a strong household consumption contribution is expected to the GDP statistics released next week. 

According to consumer confidence survey, the household purchasing appetite remained elevated in March and only started to dip slightly in April. 

"Solid retail sales dynamics to remain in place throughout the rest of 2015, with average growth (excluding cars) coming in at 6.2% for the year. Meanwhile, car sales should increase by 0.2% mom, which corresponds to 10.7% yoy growth. Combining the two statistics, we see overall retail sales increasing by 8.0 %", says Societe Generale in a report on Wednesday.