Retail Sales (Aug.)

The 0.4% m/m increase in retail sales in August, which was well above the consensus expectation at 0.2% m/m, was helped by a suspicious looking 1.8% m/m increase in motor vehicle sales. Otherwise, control group sales increased by a more modest 0.3% m/m, and some of the very strong gains over the preceding few months were revised down slightly. Nevertheless, it still appears that third-quarter real consumption is on track for a healthy gain of more than 3% annualised.