Published February 15, 2024 8:42am EST | Updated February 15, 2024 9:47am EST
Retail sales tumble much more than expected in January
Retail sales fall sharply in January to lowest level in nearly a year
By Megan Henney FOXBusiness
Americans pumped the brakes on spending in January after the pivotal holiday season as they continued to confront high interest rates and steeper prices for everyday goods.
Retail sales, a measure of how much consumers spent on a number of everyday goods including cars, food and gasoline, tumbled 0.8% in January, the Commerce Department said Thursday. That is lower than both the 0.1% decline projected by Refinitiv economists and the revised 0.4% increase recorded in December.
It marks the worst month for retail sales since March 2023.
Excluding the more volatile measurements of gasoline and autos, sales fell 0.5% last month.
The January advance is not adjusted for inflation, meaning that consumers may be spending the same but getting less bang for their buck.
Spending declined mostly across the board, with notable drops in sales at building materials and garden stores, miscellaneous stores, motor vehicle parts and retailers, as well as gas stations, as prices at the pump fell during the month. Americans also pulled back their spending when online shopping, with spending at non-store retailers sliding 0.8% from the previous month.
more
https://www.foxbusiness.com/economy/retail-sales-tumble-much-more-than-expected-january