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Now that we are seeing a second wave of COVID spreading around the world, retail sales figures are back as an important indicator of market direction.
Countries are reimposing different kinds of lockdown measures hoping to slow the spread of the virus. This, inevitably, will have some effect on consumer habits.
Given the economic devastation wrought by the first wave of the shutdown, and now that PPE is widely available, the sorts of measures to be implemented are likely to be different.
The bottom line is that the economy needs people to buy things in order to keep functioning.
The worst-hit sectors were retail and entertainment. And we can expect them to feel the impact again.
This has knock-on effects, as retailers close doors they are unable to afford rent.
Prices for commercial properties in major city centers have been declining, leading to concerns of a secondary crash in the property market.
About that recovery…
Retail sales are a measure of how much people are spending. They a...
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