Retail sales crashed 17.9% y/y in April, a fall that was expected after the government instituted a lockdown to contain the spread of the coronavirus.
A steep reduction in shops’ turnover in April is hardly a surprise, given the fourth month was the first – and only thus far – full month of lockdown, imposed by the authorities to limit the spread of the pandemic.
The economic situation of Czech companies is deteriorating and most hope for an extension of the government's Antivirus support programme, a survey by the Confederation of Industry and Transport shows.
A contraction had been expected in April, but at 24.6% y/y the magnitude of the fall surprised the market.
The reading sees the PPI deflation deepen its fall after the index slid 0.5% y/y in March.
Estonia's producer price index retreated 4.4% y/y in April, after falling 3.5% y/y in March.
Slowdown in new cases in Eastern Europe, while lockdowns already being lifted in Central and Southeast Europe.
Performance ranges from a contraction of 5.4% q/q in Slovakia to growth of 0.3% q/q in Bulgaria and Romania.
Plunge in producer prices driven by crashing oil prices, an effect of the global oil market depression caused by the pandemic.
The slowdown came mainly on the back of prices falling in the housing and transport sectors, an effect of the falling oil prices because of the coronavirus pandemic that depressed the global oil market.
The precipitous decline of the indicator points to a worsening crisis that will likely weigh down severely on the entire economy in the second quarter.
The contraction is the direct effect of the lockdown measures imposed by the Latvian government – and those elsewhere in Europe, which had an effect on Latvia’s foreign trade dynamics – in March in order to tackle the coronavirus pandemic.
The number of COVID-19 cases continues to rise by thousands daily in Russia, which now has one of the fastest growing outbreaks of the deadly virus in the world.
The contraction in March owes to the lockdown imposed by the government to fight the outbreak of coronavirus. The pandemic is expected to hit domestic demand heavily in 2020.
Tentative lifting of lockdowns in Central and Southeast Europe as number of new cases dwindles.