TNBiz (TNBiz)
Markets  |  October 05, 2012 11:20:11

Analysts: sales traders wants real decline in wages or labor market

PRAGUE (MEDIAFAX) - The uncertain situation on the labor market, where unemployment is expected to increase, along with a decline in real wages, according to analysts polled wishes agency Mediafax excessive spending. Friday Podle information the Czech Statistical Office in August retail sales fell by 0.8 percent.

"The situation remains the same. Consumers hinders purchases of inflation at the minimum wage increases, but also persistent negative consumer sentiment," said analyst group Citfin Jiri Simek. This, according to him the latest data showed consumer confidence, which confirmed the fears of consumers from further development. "Negative consumer sentiment pulls down sales and development of domestic demand then behind the decrease of the Czech economy," he explained.

Although the overall Czech households saving, new technologies, according to the chief economist at Patria Finance David Mark not. "The sale of computers, tablets and mobile phones has increased year on year by four percent. Stingy with even the clothes, where customers took the summer sales. Sales of clothing and footwear rose by 6.8 percent," said Mark, with that for the whole This year, retail sales are expected to decrease by 0.6 percent.

"Methanol affair at the moment does not reflect retail sales since broke up in early September and partial prohibition lasted from 9.14 Yet the results reflected significantly in September, especially in the food sector, where alcohol falls.There should be sign of Prohibition negative contribution to retail sales of food for about one and a half percentage point, "analyst estimated the company Home Credit Michal Kozub. According to his words, however, cause poisonous alcohol on the outcome for the whole retail sector too much effect since volume have much higher impact areas such as household equipment or fuel.

"The decline in real wages along with an uncertain situation on the labor market do not want to spend too much, and it felt dealers across sectors," says Paul Kulhavy, retail expert from PwC Audit. According to him, people continue to save on food, the vendors experienced a further decline in sales, although smaller than in the previous month. "Traditionally, so doing those who are able to offer lower prices, which are especially internet retailers," said Kulhavy.

According to information from the Czech Statistical Office declined year on year retail sales in the Czech Republic by 0.8 percent. During the reporting period, the successful retailers of automotive fuel (+1.1 percent), offended the contrary grocers (-0.3 percent).

Jan Soukup,

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