UPDATE 1-Chile May retail, factory data weak; World Cup supports

lunes 30 de junio de 2014 11:11 GYT

(Recasts with World Cup, adds comments, background)

By Anthony Esposito

SANTIAGO, June 30 (Reuters) - Chilean manufacturing production and retail sales continued their slowing trend in May, though frenzied soccer fans splashing out on new televisions and stocking up on beverages and food ahead of games lent some support.

Manufacturing output rose 1.2 percent in May from a year earlier, due to an increase in the food and beverages sector, according to the INE.

The increase was higher than a Reuters poll forecast for a 1.0 percent increase, and the biggest expansion in 10 months.

Retail sales rose 4.9 percent in May versus a year earlier, the second slowest pace of growth since late 2009, the INE national statistics agency said on Monday.

"Even though growth was greater than the 1.6 percent posted the previous month, the (May) figure continues to show signs of deceleration compared to those observed in the first quarter of the year and all of 2013," said the INE.

Analysts suggest that fans gearing up for Chile's participation in the World Cup lifted consumption in May.

The economy of the world's top copper producer has been slowing on the back of cooling domestic demand, especially investment, and in recent months weakening consumption as well.   Continuación...