In what retailers hope is a preview of the holiday shopping season, retail sales from the critical back-to-school month of August increased by 0.7% on the month, according to data released by the U.S. Census Bureau on Thursday. When autos are excluded, that gain was a robust 1.8%. The August figure easily beat the Bloomberg consensus forecast of a 0.8% ... READ MORE >
CHART OF THE DAY: Retail sales dip reflects shift in spending habits
A decline in retail spending in July may signal a shift in spending habits as consumers straddle a strengthening economy and virus-related concerns. Retail sales declined 1.1% in July compared to June, with the biggest decreases coming from motor vehicle and parts dealers, as well as non-store retailers (a proxy for e-commerce), which declined 3.9% and ... READ MORE >
Four ways retailers and restaurants can manage current inflation and labor pressures
As the economic recovery from the pandemic-induced recession continues, consumer demand is high and the opportunity exists for a strong holiday retail and restaurant season. But these sectors are facing two significant headwinds: inflation and challenges finding qualified labor. During the recession, there were many signals that demand would be strong ... READ MORE >
CHART OF THE DAY: Retail sales cool as stimulus boost wears off
After two months of growth fueled in part by stimulus payments, retail sales cooled off in May, falling 1.3% and missing analyst estimates compiled by Bloomberg of a 0.8% gain, according to Commerce Department data released Tuesday. But the drop in sales is likely more noise than signal as the economy ramps up. The three-month annualized pace of retail ... READ MORE >
CHART OF THE DAY: ISM index reaches recent high, boosted by service sector gains
The ISM non-manufacturing index climbed to 63.7% in March, firmly beating analysts' expectations and reaching its highest reading in recent history. The March reading followed February's significant decline, when the ups and downs of the race between the COVID-19 vaccine and new coronavirus variants wreaked havoc on businesses' operations. March's strong ... READ MORE >
Retail sales declined 3% in February, but brighter days are ahead
At first glance, the 3% monthly decline in retail sales for February would seem to be a cause for concern. But a look beyond the top-line number reported by the Commerce Department on Tuesday paints a more nuanced picture, one that suggests pent-up consumer demand and the prospect of stronger sales in the future. One reason for the monthly decline was the ... READ MORE >
CHART OF THE DAY: Retail sales surge 5.3% as consumers spend stimulus checks
Driven by the latest round of stimulus checks approved in late December, retail sales surged 5.3% in January from a monthly decline of 0.7% in December, the Commerce Department reported on Wednesday. The gains, which smashed economists’ consensus forecast of a 1.1% increase, were particularly strong in e-commerce (11%), furniture (12%) and electronics ... READ MORE >
CHART OF THE DAY: Service sector survey shows strength in January
A measurement of the services side of the economy rose to its highest level since well before the pandemic in January, another indication that the economy is poised for a recovery. The Institute for Supply Management said on Wednesday that its nonmanufacturing purchasing managers’ index came in at 58.7 for the month, up from December’s revised figure of ... READ MORE >
The changing holiday shopping season
For many retailers, the recent holiday shopping season was unlike any other as they contended with the disruption of the pandemic and its effect on consumer behavior. The result was a more extended holiday shopping season this year by design. While the Commerce Department’s recent headline figure for retail sales dropped by 0.7% in December compared to ... READ MORE >
CHART OF THE DAY: Holiday sales off to a sluggish start
The holiday shopping season was off to a sluggish start in November as retail sales fell 1.1% compared to October, the Commerce Department reported on Wednesday. It was the biggest drop in seven months and well below analysts’ estimates of a modest gain. Retailers were hoping for a strong holiday season to help carry them through to the other side of the ... READ MORE >