US Retail Sales Dropped , More Than Expected in January.
On Feb. 15, the Commerce Department reported that retail sales fell 0.8% for the month, halting a two-month increase streak.
The percentage was significantly
lower than economists' forecasts
of a 0.1% decline, CNN reports. .
Cold weather likely contributed to declines at gas stations and home improvement stores, which fell 1.7% and 4.1%, respectively.
Online sales dipped 0.8%. .
However, bar and restaurant
sales increased 0.7%.
High interest rates and inflation continue to squeeze many Americans, CNN reports. .
But the job market remains steady.
Even though January's sales report
was worse than expected, there's only
been two declines over the last 10 months. .
This weakness typically reverses quickly
as weather returns to normal and
people catch up on spending plans
delayed by the cold and snow, Bill Adams, chief economist at Comerica Bank, via CNN.
The Fed is likely to look through
one month’s weak retail sales
report, especially since there is
an obvious explanation from
a clearly temporary issue, Bill Adams, chief economist at Comerica Bank, via CNN