Retail Sales Slow In February
Retail spending in February slowed on a month-over-month but showed gains on a year-over-year basis, according to new data from CNBC/NRF Retail Monitor, powered by Affinity Solutions.
Total retail sales, excluding automobiles and gasoline, were down 0.22% seasonally adjusted month-over-month but up 3.38% unadjusted year-over-year in February, according to the Retail Monitor. That compared with a decrease of 1.07% month-over-month and an increase of 5.44% year-over-year in January.
Total sales were up 4.41% year-over-year for the first two months of the year and core sales were up 4.91%.
“Consumer spending dipped slightly again in February due to the combination of harsh winter weather and declining consumer confidence driven by tariffs, concerns about rising unemployment, and policy uncertainty,” said Matthew Shay, president and CEO of the National Retail Federation. “Unease about the probability of inflation and paying higher prices for non-discretionary goods has the value-conscious consumer spending less and saving more. But for the moment, year-over-year gains reflect an economy with strong fundamentals.”
The Retail Monitor calculation of core retail sales (excluding restaurants in addition to automobile dealers and gasoline stations) was also down 0.22% month-over-month in February but up 4.11% year-over-year. That compared with a decrease of 1.27% month-over-month and an increase of 5.72% year-over-year in January.
February sales were up in six out of nine categories on a yearly basis, led by online sales, health and personal care stores, and general merchandise stores. Sales were down in all but two categories on a monthly basis. Specifics from key sectors include:
- Online and other non-store sales were up 0.46% month-over-month seasonally adjusted and up 36.51% year-over-year unadjusted.
- Health and personal care stores were down 0.44% month-over-month seasonally adjusted but up 8.33% year-over-year unadjusted.
- General merchandise stores were down 0.42% month-over-month seasonally adjusted but up 6.2% year-over-year unadjusted.
- Grocery and beverage stores were down 0.07% month-over-month seasonally adjusted but up 4.08% year-over-year unadjusted.
- Clothing and accessories stores were down 0.78% month-over-month seasonally adjusted but up 3.75% year-over-year unadjusted.
- Sporting goods, hobby, music, and bookstores were up 0.93% month-over-month seasonally adjusted and up 3.57% year-over-year unadjusted.
- Electronics and appliance stores were down 0.43% month-over-month seasonally adjusted and down 0.06% year-over-year unadjusted.
- Building and garden supply stores were down 1.02% month-over-month seasonally adjusted and down 3.34% year-over-year unadjusted.
- Furniture and home furnishings stores were down 1.01% month-over-month seasonally adjusted and down 3.67% year-over-year unadjusted.
