U.S. Retail Sales Post Surprise Rise

March 12, 2010
Increased 0.3%

Retail sales rose for the second month in February, despite severe winter storms that hammered large regions of the country. The Commerce Department said that retail and food service sales increased 0.3% from January to $355.5 billion.

The growth in retail sales surprised most analysts, who had forecast a decline of 0.2% after massive snow storms crippled the densely populated Northeast for much of last month.

The February advance in retail sales was broad-based, with only two of the 12 sectors measured registering declines. Automobile sales tumbled 2%, the steepest decline since September 2009, and health and personal care sales dropped 0.7%, the biggest fall since February 2004.

Excluding auto and auto parts sales and gasoline service station sales, which can vary widely from month to month, retail sales accelerated to a 0.9% gain in February after rising 0.5% in January.

The Commerce Department slashed the January increase from December to 0.1% from the 0.5% originally estimated.

On a 12-month basis, retail sales were 3.9% higher than in February 2009, when the government passed a nearly $800 billion stimulus package.

President Barack Obama's administration and the Federal Reserve have predicted consumer spending would remain weak in 2010 and, unlike in past recoveries, would not be the main driver of economic growth.

Copyright Agence France-Presse, 2010

Popular Sponsored Recommendations

Empowering the Modern Workforce: The Power of Connected Worker Technologies

March 1, 2024
Explore real-world strategies to boost worker safety, collaboration, training, and productivity in manufacturing. Emphasizing Industry 4.0, we'll discuss digitalization and automation...

3 Best Practices to Create a Product-Centric Competitive Advantage with PRO.FILE PLM

Jan. 25, 2024
Gain insight on best practices and strategies you need to accelerate engineering change management and reduce time to market. Register now for your opportunity to accelerate your...

Transformative Capabilities for XaaS Models in Manufacturing

Feb. 14, 2024
The manufacturing sector is undergoing a pivotal shift toward "servitization," or enhancing product offerings with services and embracing a subscription model. This transition...

Shifting Your Business from Products to Service-Based Business Models: Generating Predictable Revenues

Oct. 27, 2023
Executive summary on a recent IndustryWeek-hosted webinar sponsored by SAP

Voice your opinion!

To join the conversation, and become an exclusive member of IndustryWeek, create an account today!