German retail sales increase in January

Retail sales in Germany increased strongly in January, official data showed on Tuesday, adding to signs that private consumption would continue to support the German growth in 2015.

Compared with the previous month, retail sales in January increased by 2.9 percent when adjusted for calendar, seasonal and inflation variations, said German national statistical office Destatis.

In December last year, the sales was only up by 0.6 percent month on month.

When compared with the same month of previous year, sales in the retail sector rose by 5.3 percent in January, the biggest increase since June 2010, according to Destatis.

The data on Tuesday fueled expectations that private consumption would play a key role in economic growth in 2015 again.

German consumers' confidence hit its highest value since October 2001, they were more willing to purchase than anytime else since December 2006 thanks to stable labour market, low interest rates and falling energy prices, found a recent survey by market research institute GfK. Endit