Q2 Retail Sales Strongest Growth Since Q1...>

UK DATA: Q2 Retail Sales Strongest Growth Since Q1 2004   

-UK Jun Total Retail Sales -0.5% m/m; +2.9% y/y; +2.1% 3m/3m

-UK Jun Retail Sales Ex-Fuel -0.6% m/m; +3.0% y/y; +2.1% 3m/3m

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Despite a June slump, retail sales is poised to add 0.11pp to Q2 

GDP growth. Volumes rose 2.1% on the quarter, the joint highest since 

March 2004. The 0.5% m/m decline in June sales volumes, which followed 

an upwardly-revised May (up 0.1pp to 1.4% m/m), was due to consumers 

staying away from stores and enjoying both the World Cup and the month's 

higher temperatures. As a result, there was a decrease in non-food store 

footfall along with a fall in non-store activity which is predominently 

online. Over the quarter, littered with one-off events like the Royal 

Wedding, food store sales grew by 2.2%, its strongest pace since Q1 

2001.