General Discussion
Related: Editorials & Other Articles, Issue Forums, Alliance Forums, Region Forums"Black Friday" Hocus Pocus?
(Bloomberg) Retail sales rose in November at the slowest pace in five months, indicating American consumers were trying to live within their means heading into the holiday shopping season as wages dropped.
The 0.2 percent gain in purchases fell short of the 0.6 percent median forecast of economists surveyed by Bloomberg News and followed increases in the prior two months that were larger than previously estimated, according to data from the Commerce Department today in Washington. Other reports showed inventories climbed in October and job openings fell.
Demand for autos, the latest fashions and electronics propelled the increase in spending last month, while households cut back on groceries and restaurant meals, showing how limited job and income gains are holding consumers back. Retailers like J.C. Penney Co. are pushing discounts to drum up business, a sign of a lack of inflation that allowed the Federal Reserve today to hold interest rates near zero.
Sales are growing, but they just arent accelerating, said Ryan Wang, an economist at HSBC Securities USA Inc. in New York. There have been some real slight hints of improvement in the labor market, but until we get sustained growth in income, spending is going to be moderate. ....................(more)
The complete piece is at: http://www.bloomberg.com/news/2011-12-13/u-s-retail-sales-climb-less-than-forecast-at-slowest-pace-in-five-months.html
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Lousy November Retail Sales Numbers Prove Black Friday Headlines Were a Joke
By Michael Comeau Dec 13, 2011 12:30 pm
(Minyanville) Best Buy's (BBY) spectacular flame-out wasn't the only retail disappointment this morning -- the Commerce Department said that November retail sales rose just by 0.2% versus a consensus estimate calling for a 0.6% gain.
That painted an ugly picture for retail overall, but it made an even more important point about the sensationalist headlines around the great margin-sucking 'holiday' that is Black Friday: They can now be disregarded. (See: What Does Black Friday's Creep on Thanksgiving Say About American Retail?)
If you rewind the clock a few weeks, you may remember hearing the National Retail Federation boasting of a 16% year-over-year sales gain for the four-day weekend following Thanksgiving, and ShopperTrak saying that retail sales rose 6.6% on Black Friday itself. ................(more)
The complete piece is at: http://www.minyanville.com/businessmarkets/articles/november-retail-sales-november-retail-sales/12/13/2011/id/38371#ixzz1gT56jG8J
Warpy
(111,338 posts)probably caused the retail sales increase, which focuses on dollar amounts rather than units of goods sold.