UK grocery inflation 4.3% in the four weeks to Dec 28th (prev. 4.7% in Nov); grocery sales +3.8% Y/Y over the four-week period

UK grocery inflation has eased to 4.3% from 4.7% in November, suggesting a potential moderation in consumer price pressures.

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UK grocery inflation 4.3% in the four weeks to Dec 28th (prev. 4.7% in Nov); grocery sales +3.8% Y/Y over the four-week period

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Sales Y/Y (Dec vs Nov) 

  • Tesco (TSCO LN) +4.3% (prev. +6.9%) 
  • Sainsbury's (SBRY LN) +5.2% (prev. +5.2%) 
  • Ocado (OCDO LN) +15.0% (prev. +13.6%)
Context

This decrease, coupled with a 3.8% year-on-year growth in grocery sales, indicates resilience in consumer spending despite ongoing inflation concerns. Investors may view these trends as positive for the consumer staples sector, impacting stock performance of key players like Tesco and Sainsbury's.

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