U.S. December retail sales unexpectedly stagnate, holiday season ends on a weak note

Deep Tide TechFlow News, February 10 — According to Jintou Data, U.S. retail sales unexpectedly stalled in December, indicating that consumers were more cautious with their spending at the end of the year. Data from the U.S. Commerce Department on Tuesday showed that unadjusted retail sales remained flat after a 0.6% increase in November. Sales excluding auto dealers and gas stations also remained flat. Of the 13 retail categories, eight experienced declines, including clothing stores and furniture stores. Auto dealer sales also declined. Meanwhile, spending at building material stores and sporting goods retailers increased. These figures suggest that consumer spending momentum has weakened as the holiday shopping season comes to an end. Although many economists expect tax refunds this year to support early-year demand, households remain dissatisfied with high living costs and continue to worry about the job market. The breadth of consumer spending is also concerning. Wealth generated by stock market gains may stimulate demand, but there are signs that non-essential spending among low-income Americans, primarily driven by modest wage growth, is less robust.