RATE HOLD A REPRIEVE FOR RETAILERS
Written on the 6 July 2011
PEAK retail industry body the Australian Retailers Association (ARA) says the Reserve Bank of Australia’s (RBA) decision to leave the cash rate unchanged at 4.75 percent was a ‘job well done’.
It comes as retailers continue to operate in the slowest gear of a multi- speed economy and May ABS retail trade figures that show a decline in sales across the sector.
ARA executive director Russell Zimmerman welcomed the news.
“Already wary consumers pulled back on their spending in a big way throughout May, confirming retailers’ fears that the slight growth in April was only temporary and not a realistic reflection of the pressure being felt in the sector,” he says.