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Retail sales grew by 5.9 percent on a year-on-year basis in August. The growth was visible in all non-food categories, except for recreational items and consumer electronics. Online sales only increased for food items and declined for all other sectors, including clothing and fashion items. The growth was driven by higher prices, as the volume actually decreased during the same period. However, this decline was less pronounced than in previous months. Prices now appear to be stabilizing. The consumer prices rose 0.2 percent, largely due to lower energy prices and a change in the measurement method by the CBS (Central Bureau of Statistics). Food prices were still 9.3 percent higher than a year ago. As a result of the higher prices, consumer spending has also increased, leading to employees demanding higher wages. In this tight labor market. employers are generally accommodating this demand, The wage growth in collective labor agreements (Cao) has not been this substantial in years. This will stimulate purchasing power in the medium to long term. In the annual budget presented by the caretakes government in September, issues of social security and broad prosperity were central topics. This will be an important theme for the newly formed government after the elections.

Although it hasn't yet led to an increase in consumer confidence, it hasn't declined significantly either. The consumer outlook is slowly but steadily improving.

In the investment market, the transaction volume for retail real estate amounted to 170.3 million euros in the third quarter. This volume was higher than in previous quarters but still relatively low from a historical perspective. The low volume is mainly a consequence from the uncertain economic outlook and increased interest rates. Retail real estate is performing reasonably well and there is limited debt applied in the sector. As a result forced sales are rare and equity investors sometimes find good investment opportunities. Due to rising interest rates, initial yields have increased, although less strong compared to other sectors. Some transactions indicate that investors are willing to pay competitive initial yields for convenience centers that are in line with their strategy. For example, the convenience center Nieuw-Sloten in Amsterdam was sold with a gross initial yield of 5.4 percent, and the convenience center Heusdenhout in Breda at 5.7 percent.