Retail economy stalls in April as card transactions fall 1%

Spending with electronic cards fell 1% on a seasonally adjusted basis in April from March, Statistics NZ reported. The figures, which include debt and credit card sales  and exclude cheque and cash sales, reinforce signs that the consumer economy is sputtering along in tandem with a housing market that has stalled ahead of the budget on May 20. Here is the full Statistics NZ statement below and our interactive charts below that:

The total value of electronic card transactions was down 1.0 percent in April 2010 when adjusted for seasonal effects. This follows an increase of 1.0 percent in March 2010. The non-retail industries (which include services such as travel and health, and wholesaling) were up just 0.2 percent in April 2010, while the retail industries were down 1.7 percent. Seasonal adjustment reflects short-term behaviour and has been influenced by increased variability in spending patterns in recent months. The value of transactions in core retail (which excludes the motor vehicle-related industries) was down 1.9 percent in April 2010, following an increase of 2.0 percent in March 2010. The main contributors to the April decrease were durables and consumables. Durables include furniture, hardware, and appliance retailing; consumables include food, liquor, and chemist retailing. Trends for the value of transactions in the total, retail, and core retail series have all been increasing since January 2009, although the rate of increase has eased for each of the trends in recent months. These trend estimates may be revised and should be used with caution until more data points are available. Electronic card transactions covers all debit and credit card spending with New Zealand-based merchants.