What: Germany’s retailers struggle with consumers’ reluctance to spend due to fears about rising inflation.

Why it is important: The Wiesbaden authorities adjusted the statistics to account for price increases in real terms, which showed that revenues had fallen 1.3% from July to August, and a 4.3% drop for August, year-over-year.

Food trade revenues fell to their lowest levels since January 2017. Real declines in sales also appeared in the trade of textiles, shoes, household appliances and building supplies, as well as internet and mail order business.

Gas stations were the outliers in August with a 14% increase due to the tank discount motivating many drivers to fill up.

Retail revenues drop