Berlin - German retail sales plunged in October, data released Monday showed, as the global financial crisis cast a shadow over the nation's retailing sector in the run-up to the key Christmas shopping period.

Retail sales in Europe's biggest economy tumbled by a bigger- than-forecast 1.6 per cent in October from September, the German statistics office said with the country having tipped into a recession during the third quarter.

Economists had expected retail sales to post a modest rise of 0.5 per cent month on month in October. Year-on-year retail sales dropped 1.5 per cent in October, the statistics office said Monday. (dpa)