Americans didn't dig deep into their pockets last month, possibly signalling lacklustre holiday shopping
Figures released Wednesday by the U.S. Commerce Department revealed that retail sales rose only 0.1% in November, after a downwardly-revised 0.6% growth in October
Consumers bumped up their purchases at restaurants and furnishing places last month. But they also trimmed spending at auto dealers and department stores, limiting the overall advance in retail sales.
More Americans had seemed to enter the holiday season poised to shop. The improving job market has pushed unemployment down to 4.6% and prompted signs of accelerating wage growth. Over the past 11 months, retail sales have risen a solid 3.1% compared to the same period in 2015. The greater retail sales helped support overall economic growth.
Experts say consumer spending accounts for the majority of all U.S. economic activity. It has disproportionately contributed to an economy that expanded at an annual clip of just 1.8% over the first nine months of 2016. Consumer sentiment further improved after the election of Donald Trump as president. Still, there's much to suggest momentum stalled last month.
Online and mail-order retailers posted a lukewarm 0.1% gain, compared to a robust 11.5% increase so far this year. Clothing sales were flat in November.
