Despite spending rising annually, US consumers appeared to cut back on expenses in January after a hectic holiday season, which was indicative of a stronger market overall.
This is in keeping with recent data gathered for the CNBC/NRF Retail Monitor, which showed that overall retail sales in the US for January, aside from cars and gas, were down 1.07 per cent on a month-over-month basis.
This was in stark contrast to a 5.44 per cent year-over-year growth, which was lower than the 7.24 per cent annual increase in December.
Matthew Shay, president and CEO of the National Retail Federation (NRF), stated that while there was a monthly decline, the annual increases demonstrate overall consumer resilience, with a robust job market and wage growth outpacing inflation continuing to drive spending.
As a result, January sales increased annually in seven of the nine categories that were recorded, with apparel and accessory businesses leading the way. Sales for this category increased 7.67 per cent year over year, but month-to-month sales decreased 2.96 per cent.
