December Retail Sales Were Surprisingly Good - InvestingChannel

December Retail Sales Were Surprisingly Good

The Commerce Department reported(.pdf) that retail sales in the U.S. far exceeded analysts estimates for just a modest gain, jumping 0.5 percent in December following an upwardly revised gain of 0.4 percent in November, as there continue to be very conflicting signs about the holiday shopping season.

Excluding autos, sales were up a less impressive 0.3 percent after dipping 0.1 percent the month prior and, excluding both autos and gasoline, retail sales were up 0.6 percent for the second straight month.

Retail Sales

No doubt due to the widespread auto damage caused by Superstorm Sandy, car sales surged 1.8 percent in December following a jump of 3.1 percent in November and lower gasoline prices led to lower gas station sales, last month’s decline of 1.6 percent following an even bigger drop of 4.5 percent the month before.

The only other category to see a decline last month was electronic store sales that were 0.6 percent lower, but, since this came after a surge of 2.3 percent in November, this appears to just be a case of consumers doing their holiday shopping earlier than usual. More home sales led to a rise of 1.4 percent in furniture store sales, though home improvement store receipts were flat, while health & personal care store sales rose 1.4 percent and food service & drinking place sales were up 1.2 percent