On April 21st 2011 at 8:30GMT the Office for National Statistics (ONS) released its Retail Sales report for March.
Previous value : -0.8%; Forecast: -0.5%
“Retail Sales” is an indicator showing the change in consumers’ desire to buy retail products. It is believed that such spending is the key driver of the overall economic activity. Those who monitor these data usually can anticipate the future situation (an upsurge or a decline).
The range of the products included into the report is fairly wide. That is why first of all it is recommended to pay attention to the direction in which the value is changed.
As for the UK, the index has an impact on the British Pound exchange rate and consequently can be an indicator of its buying power. A Retail Sales news release is a good excuse for considerable currency-rate fluctuations.
Consequently the indicator is of high importance to Forex traders. Moreover, the GBP rate and the index value usually move in the same direction.
The data are published approximately in 3 weeks after the end of the reporting month.
