Outpaced all other retail sales channels
By Alan Wolf, YSN
Furniture and home furnishings stores were the top-performing retail segment in January, according to the U.S. Census Bureau, outpacing all other product categories and distribution channels.
The agency’s monthly retail sales report showed that sell-through at furniture and home furnishings stores was up 1.5% month-over-month in January, to $11 billion. That compared to flat sales at appliance and electronics stores, which generated $7.3 billion last month, and a decline of 0.8% in total U.S. retail sales from December, to $700.3 billion.
Besides the traditional post-holiday breather, sales were impacted by extreme weather, which likely disrupted product demand and consumption patterns, observed Jack Kleinhenz, chief economist for the National Retail Federation (NRF), the world’s largest retail trade association.
Also pressuring the results were last month’s lower prices on goods — which affects sales figures even if the same number of items are sold — and higher prices for services, which pulled dollars away from retail purchases.
Nonetheless, while total retail sales cooled in January in step with wintry temperatures, the Census Bureau report showed that households continued to spend. “Retail sales softened in January compared with the holiday season, but consumers were still engaged,” Kleinhenz noted. “January’s numbers point to the U.S. economy and labor market continuing to chug along.”
Core retail sales, which excludes automobile dealers, gasoline stations and restaurants, were down 0.8% from December but up 2.8% year-over-year. Core retail sales were up 3.2% unadjusted year-over-year on a three-month moving average as of January.
The Census Bureau report mirrored the CNBC/NRF Retail Monitor, compiled by Affinity Solutions, which pegged core January retail sales as down just 0.04% seasonally adjusted from October and up 3.24% unadjusted year-over-year. That compared with increases of 0.19% month-over-month and 2.4% year-over-year in December, the NRF said.
