Retail Sales Rebound in January - Update
According to the January 2010 Advance Monthly Retail Trade Survey from the U.S. Census Bureau, U.S. retail and food service sales rose 0.5%, from $353 billion to $355.8 billion, last month. U.S. retail and food service sales have been in a seesaw pattern in recent months, with sales falling 0.3% in December 2009, 1.5% in September and 2% in July, but rising 1.8% in November 2009, 1.4% in October and 2.7% in August.
Compared to January 2009 retail and food service sales of $339.8 billion, sales in January 2010 climbed 5.3%. Compared to January 2009, retail sectors experiencing the most dramatic annual growth were gasoline stations (29%) and non-store retailers (12.4%).
Of the 13 separate primary retail and food service sectors tracked by the U.S. Census Bureau, nine reported sales increases, four reported sales decreases and one stayed flat.
The most significant sales increase was a 1.5% hike in general merchandise retailer sales. The most significant sales decrease was a 1.1% decline in miscellaneous store retailer sales. Sales at motor vehicle and parts dealers remained the same from December 2009.
Other sectors reporting sales increases were electronics & appliance stores, food and beverage stores, health & personal care stores, gasoline stations, clothing & clothing accessories stores, sporting goods, hobby, book & music stores, nonstore retailers, and foodservice & drinking places. Sales also declined in the furniture & home furnishings stores, building material and garden equipment and supplies dealers sectors.
January Consumer Spending Index Drops
The January 2010 Deloitte Consumer Spending Index supports the Census Bureau’s finding of decreased sales for the month. For the second straight month, consumer spending dipped 7.5% in January 2010 following a more modest 0.6% decline in December 2009. The current Index score of 4.34% is still close to its five-year high and is well above its recent low point of 3.07% in October 2007.