UPDATE 1-Brazil retail sales advance more slowly in September

viernes 14 de noviembre de 2014 08:15 GYT
 

(Adds sector details, historical comparatives)

SAO PAULO Nov 14 (Reuters) - Retail sales grew more slowly in September as consumer confidence hovered near five-year lows, weighing on demand at supermarkets and clothing stores.

Sales volumes in Brazil rose 0.4 percent in September from August on a seasonally adjusted basis, government statistics agency IBGE said on Friday, in line with the median estimate in a Reuters poll of 29 economists.

The advance was weaker than the 1.1 percent growth in August, sapping hopes for a more robust recovery in Latin America's biggest economy, which entered a recession in the first half of the year.

Sales grew more slowly or contracted from August in all of the eight core retail categories tracked by IBGE. Furniture and home appliance volumes posted the strongest rise, growing 1.8 percent, while sales of clothing dropped 3.0 percent and food and drink sales declined 0.3 percent.

Major apparel chains such as Cia Hering have struggled this year with weak demand, posting weaker sales as they rely on cost cutting and tax incentives to bolster profits.

A broader measure of retail sales including automobiles and building materials rose 0.5 percent in September.

Compared with September 2013, sales volumes rose 0.5 percent from a year earlier, the IBGE added, below a median forecast of 0.7 percent growth. (Reporting by Brad Haynes Editing by W Simon)