- ORIGINAL NEWS
Retail sales rise 0.6% in December, topping expectations for holiday shopping
- SUMMARY
Retail sales in the US saw a 0.6% increase in December, mainly due to increased sales in clothing stores, accessories, and online nonstore businesses.
Year-over-year, retail sales grew by 5.6%, exceeding inflation rates.
The stronger-than-expected retail sales could potentially influence the Federal Reserve’s decisions regarding interest rates.
Certain sectors, such as health and personal care, electronics, and furniture, experienced a drop in sales, while food services and drinking places witnessed significant growth.
Import prices remained unchanged, while export prices declined.
The market anticipates rate cuts by the Fed in 2024, but stronger economic growth and inflation might lead to a more restrictive policy approach.
- NEWS SENTIMENT CHECK
- Overall sentiment:
positive
Positive
“Retail sales increased 0.6% in December, buoyed by a pickup in clothing and accessory stores as well as online nonstore businesses.”
“Excluding autos, sales rose 0.4%, which also topped the 0.2% estimate.”
Negative
“Stock market futures held negative following the release.”
“Both health and personal-care store receipts declined 1.4% and gas stations saw a 1.3% drop as fuel prices eased.”