German monthly retail sales rise more than expected in June

German monthly retail sales rose far more than expected in June, data showed on Monday, boosting expectations that private consumption will make a significant contribution to growth in Europe's largest economy this year.

The volatile indicator, which is often subject to revision, showed retail sales rose by 1.1 percent on the month in real terms, the Federal Statistics Office said.

That compared with the Reuters consensus forecast for a 0.2 percent monthly rise and came after a rise of 0.5 percent in May.

On the year, sales rose by 1.5 percent in June. A Reuters poll had forecast an increase of 2.7 percent.
Consumption has overtaken exports as the main driver of growth, supported by a robust labour market and low interest rates.

A survey last week showed already-buoyant German consumer sentiment continued to rise further heading into August.