“Against a backdrop of a relatively resilient labour market and better tourist arrivals in 1Q, while this overall set of data could suggest that consumer sentiments may be improving, the magnitude of growth for retail sales is not significant and we keep in mind that high operating costs remain a challenge for retailers,” explains lead analyst Jodie Foo in a Tuesday report.
SINGAPORE (June 13): OCBC Investment is maintaining its “neutral” rating on Singapore’s consumer sector given a lack of broad-based improvement for the retail scene, as well as the continued expansion and growth of e-commerce players.
This comes even as local retail sales data for April registered slightly above consensus, with retail sales up 2.6% on-year on higher sales in discretionary segments like Department Stores and Watches & Jewellery.
