Brazil retail sales fall for fourth straight month in July

SAO PAULO, Sept 11 (Reuters) - Retail sales volumes in Brazil fell 0.3% in July from June, official data showed on Thursday, in line with analysts' expectations, marking their fourth monthly decline in a row as high interest rates continue to weigh on the local economy.

On a year-over-year basis, sales grew 1.0% in July, statistics agency IBGE said, above the 0.8% increase forecast in a Reuters poll of economists.

Latin America's largest economy has been showing signs of cooling as the central bank maintains high interest rates to fight persistent inflation. The benchmark Selic rate currently stands at 15%, a nearly 20-year high.

Pantheon Macroeconomics' chief Latin America economist Andres Abadia said the July figures confirm the retail sector is losing resilience.

"Weakening sentiment points to difficult times for retailers over the next three to six months," he said, citing high borrowing costs, stubborn services inflation, and ongoing uncertainty.