Economic indicators looking good

CONSUMER SPENDING in April, although weak, remained positive and recorded growth that was above sectors like manufacturing, according to the Standard Bank’s latest retail pointer. It recorded an annual growth of 2.2% (in constant 1995 prices) but declined by 0.9% month-on-month. This after March’s annual growth of 3.1% and February’s 2.6%. The report points to the latest value of the trade activity index (TAI) computed by Standard and Sacob having improved to 46.6 in June from 42.6 in May. “Such a movement in the index suggests that trading conditions may improve in the near-term.” Also, said the report, the recent lowering of interest rates seems to have stemmed the negative tide in the trade activity numbers, both of which, in turn, should bode well for retail sales.