Chile Consumer Demand in Trouble as November Retail Sales Drop

SANTIAGO, Chile — Chilean retail sales unexpectedly fell in November, undercutting optimism that consumer demand would strengthen on the back of a better jobs market.

Sales dropped 0.8 percent from a year ago in the largest decline in four years, the national statistics agency reported on Friday. The result was lower than all estimates from economists in a Bloomberg survey whose median forecast was for a 1.8 percent gain.

Key Insights

Decreasing sales of electronics, pharmacy, cosmetics and personal hygiene goods and fuel dragged down the November retail figures.

November result follows a 7.5 percent jump in retail sales in October.

Separately, the index of commercial activity grew 0.6 percent in November from a year earlier helped by machinery and equipment, textile, and agricultural materials, the latter of which rose 24.9 percent from the previous year.

By Daniela Guzman; editors: Vivianne Rodrigues and Matthew Malinowski.