RETAIL SALES, PMI REPORTS SHOW WEAKENING EUROZONE ECONOMIES

"CNBC: – Carrefour, Europe’s biggest retailer, said it would focus on cutting prices to lure back consumers as it braced for another tough year as cash-strapped shoppers reduced spending.

The French group, posting a 0.1 percent drop in underlying first-quarter sales, said it was hit by continued weakness in its core French hypermarkets and in austerity-hit Southern Europe, where shoppers cut back on purchases of discretionary non-food items.

This problem is not unique to Carrefour. The Eurozone is experiencing a sharp contraction in the retail sector.

BBC: – Retail sales in the three largest eurozone economies – Germany, France and Italy – have fallen to their second lowest level on record, a survey says.

The purchasing managers’ index (PMI) for the three countries, compiled by research firm Markit, fell to 41.3 in April, down from 49.1 in March and the weakest reading since November 2008.

A reading below 50 indicates shrinking activity.

The chart below shows the Retail Purchasing Managers Index (Retail PMI) for the Eurozone, a leading indicator for the official retail sales numbers..."

Eurozone Retail PMI (source: Markit Partners)

at http://pragcap.com/retail-sales-pmi-reports-show-weakening-eurozone-economies