In January 2025, Brazil’s retail sales decreased by 0.1% month-over-month, marking three consecutive months of decline. The most significant drops occurred in pharmaceutical and food sectors, while office supplies and fuels saw increases. Year-on-year sales rose by 3.1%, indicating potential stability in the retail sector despite short-term fluctuations.
In January 2025, Brazil’s retail sales experienced a marginal decline of 0.1% month-over-month, following a revised decrease of 0.3% in December 2024. This reduction is in contrast to forecasts predicting a slightly higher decline of 0.2%. This pattern signifies the third consecutive month of declining retail sales. However, according to Cristiano dos Santos from IBGE, these fluctuations may indicate a period of stability in the retail sector.
Notably, the most significant drop in sales was recorded in the pharmaceutical, medical, orthopedic, and perfumery sectors, which fell by 3.4%. Other areas that displayed decreased sales included hypermarkets, supermarkets, food products, beverages, and tobacco (-0.4%), furniture and appliances (-0.2%), and fabrics, clothing, and footwear (-0.1%).
Conversely, certain sectors saw an increase in sales. Office equipment, supplies, IT, and communication products rose by 5.3%. Additionally, fuel and lubricant sales increased by 1.2%, while other personal and household items grew by 0.7%. Sales of books, newspapers, magazines, and stationery also saw a slight rise of 0.6%.
Year-over-year, retail sales in Brazil marked a growth rate of 3.1%, surpassing the previous month’s increase of 2%. This year-on-year data indicates a positive trend despite recent monthly declines.
In summary, Brazil’s retail sector saw a slight decline in January 2025, continuing a three-month trend of falling sales. Yet, certain categories, such as office supplies and fuel, experienced growth. The overall year-on-year increase in retail sales suggests a potential stabilizing trend despite current monthly challenges. This mixed performance reflects the complexities of the retail environment in Brazil.
Original Source: www.tradingview.com
