US December Retail Sales Flat, Missing Forecasts
US retail sales stalled at 0% in December, with core sales also flat and the control group declining, signaling softer consumer spending momentum.
Summary
US retail sales in December recorded no growth, coming in at 0% against expectations of a 0.4% rise and following November’s revised 0.6% gain. Core retail sales, excluding autos, gasoline, and building materials, also stayed flat at 0%, missing the forecast of 0.3% and down from a revised 0.4% prior reading. The control group, which feeds directly into GDP calculations, dropped 0.1% versus the expected 0.4% gain. These figures point to weaker consumer demand at year-end, which may influence economic growth projections and Federal Reserve policy considerations.
Terms & Concepts
- Retail Sales: Measures the total receipts of stores selling goods and services to consumers, often used to gauge consumer demand and economic activity.
- Core Retail Sales: Retail sales excluding volatile categories such as autos, gasoline, and building materials, providing a clearer view of underlying consumer spending trends.
- Control Group Sales: A subset of retail sales excluding most volatile components, used to estimate personal consumption expenditures in GDP calculations.