Australian retailers suffered another weak month of sales as consumers grapple with stagnant wages and soaring utility bills.
This morning's announcement from the Australian Bureau of Statistics (ABS) revealed retail sales were flat with no growth for the month of September, falling well below analyst expectations of a rise of 0.4% after August's poor numbers.
The Australian dollar was promptly sold off dropping from 0.7715 to 0.7684 US cents.
The impact was not just limited to currency markets, with retailers on the ASX also declining on an otherwise positive day.
Shares in retail chains Harvey Norman Holdings Limited (ASX: HVN) and JB Hi-Fi Limited (ASX: JBH) both fell almost 2.0% after the data was released.
Beleaguered department store chain Myer Holdings Ltd (ASX: MYR) also sunk about 1.3% from its morning peak. All three stocks remain some of the most shorted stocks on the ASX, with each of them having a short interest above 10%. With the all important Christmas period season coming, there doesn't seem to be many signs of a reversal in trend as retailers battle the toughest trading conditions since the Global Financial Crisis.
