Thursday, Oct 18, 2007

Oh dear, oh dear - inflation needs to go up again

BBC: Retail sales strongest since 2004

UK retail sales rose by the strongest annual rate in three years in September, official figures show. The Office for "Notional" Statistics (ONS) said sales were up 6.3% from the same month a year earlier, the biggest gain since September 2004. Sales increased 0.6% from August, above analysts' expectations of a 0.1% rise.

Posted by uncle chris @ 10:52 AM (361 views) Add Comment

4 Comments

1. ontheotherhand said...

No this increase in sales is not inflationary since retailers cut prices. Any fool can increase sales on discretionary goods by cutting prices, but not without hitting their profits

"Heavy discounting by retailers spurred the increase in spending"

Retailers are trying to cut inventory

Thursday, October 18, 2007 12:02PM Report Comment
 

2. cornishman said...

@ontheotherhand - I agree. They are probably cutting inventory. For the first time in many years, I've had metal stockholders phoning me weekly wanting to know if I need anything from them. They did exactly the same before the last recessions also.

Thursday, October 18, 2007 12:23PM Report Comment
 

3. Albertini Albertino said...

Meh, if it causes another interest rate rise 'to stop people spending', then yay.

Thursday, October 18, 2007 12:32PM Report Comment
 

4. sold 2 rent 1 said...

cornishman,

So an article that says the economy is doing well, turns out to be forecasting a recession. It is possible to spin any news.

Thursday, October 18, 2007 01:34PM Report Comment
 

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