Eurozone retail sales fell by 0.7% month-over-month in May 2025, the steepest decline since August 2023, following an upwardly revised 0.3% gain in April and in line with market expectations. The drop was driven by weaker demand for non-food products (-0.6% vs -0.1% in April), fuel (-1.3% vs +1.3%), and food, drinks, and tobacco (-0.7% vs +0.8%). Among the bloc’s major economies, retail volumes fell notably in Germany (-1.7%), followed by the Netherlands (-0.6%), Italy (-0.4%), and France (-0.2%), while Spain bucked the trend with a modest 0.2% rise. On an annual basis, retail trade growth slowed to 1.8% in May from 2.7% in April.