Hong Kong retailers expect the economic turmoil to trigger a downturn in sales despite a 3 per cent volume growth in August.
Plunging equity values, rising interest rates and falling property prices are expected to squeeze spending during the traditionally buoyant Christmas period.
According to Government figures, August sales were boosted by a 59 per cent rise in the volume of cars and 11 per cent jump in consumer durables.
The overall 3 per cent year-on-year rise dipped slightly below the average of 3.4 per cent during the first half.
Shoppers spent $20.6 billion for the month, a rise of 8 per cent or about $180 million over the previous month.
While car sales remained robust there was a fall of 10.8 per cent in department store sales while clothing and footwear were down about 7.6 per cent.
During the first half of the year, sales were boosted partly by buoyant stock and property markets. This was partly reflected in the purchases of higher-value consumer goods.
