07 Jan 2019

Crosby Research: Macro: Nov retail sales - Bridge over troubled water failed to ease shoppers mind

Nov. retail sales in HK disappointed with YoY growth of merely 1.4% vs consensus expectation of about 4% YoY growth, despite visitors from the mainland, which have been the main driver for local retail sales, grew strongly at 25.8% YoY for the month, which should be driven by the opening of the bridge linking HK, Zhuhai and Macau in late Oct. Growth in Macau GGR also accelerated (Fig. 2), so mainland visitors may prefer gambling than shopping!