Retail sales in Hong Kong declined at a slower rate in May, data from the Census and Statistics Department showed Thursday.
Retail sales value fell 4.1 percent year-on-year in May, following the 9.9 percent drop in April. Economists had expected a 4 percent decrease is sales. Sales value shrunk for the fourth straight month.
By volume, retail sales fell a price-change adjusted 4.7 percent in May after the 9.6 percent decline in April. Economists had forecast a 3.8 percent drop in volume.
The latest decline in retail sales was mainly due to a sharp fall in the sales of jewelry, watches and clocks, and valuable gifts. This suggested lower tourist spending on some major big-ticket items against a still high base of comparison in May last year, a government spokesman said.
Looking ahead, the government spokesman said that the still favorable job and income conditions should provide some support to local consumer sentiment, but the near-term outlook of retail sales business will continue to be clouded by the base effects and the changing visitor spending pattern.
