By Nina Adam

FRANKFURT--German retail sales plummeted in September from the previous month, their second consecutive decline and a possible sign that terrorism concerns and global economic uncertainties have started to undermine household consumption in Europe's largest economy.

The Destatis statistics office said Monday that retail sales, adjusted for inflation and seasonal swings, dropped 1.4% in September from August, their sharpest fall in two years. Economists polled by The Wall Street Journal had forecast a 0.2% gain.

Compared with September last year, retail sales were up 0.4%, in inflation-adjusted terms.

Private consumption in Germany has remained robust throughout the year. But a survey by GfK market research group already last week signaled a slight decline in consumer sentiment. GfK cited an "increasingly difficult" external trade environment and terrorism concerns.

German retail sales data are volatile and prone to revisions.

Write to Nina Adam at nina.adam@wsj.com

(END) Dow Jones Newswires

October 31, 2016 03:48 ET (07:48 GMT)

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