> Consumers sharply curtailed their spending in January, indicating a potential weakening in economic growth ahead, according to a Commerce Department report Friday.
> Retail sales slipped 0.9% for the month from an upwardly revised 0.7% gain in December, even worse than the Dow Jones estimate for a 0.2% decline. The sales totals are adjusted for seasonality but not inflation for a month in which prices rose 0.5%.
> Excluding autos, prices fell 0.4%, also well off the consensus forecast for a 0.3% increase. A “control” measure that strips out several nonessential categories and figures directly into calculations for gross domestic product fell 0.8% after an upwardly revised increase of 0.8%.
> With consumer spending making up about two-thirds of all economic activity in the U.S., the sales numbers indicate a potential weakening in growth for the first quarter.
> Receipts at sporting goods, music and book stores tumbled 4.6% on the month, while online outlets reported a 1.9% decline and motor vehicles and parts spending dropped 2.8%. Gas stations along with food and drinking establishments both reported 0.9% increases.
This definitely matches what I am seeing irl. It’s anecdotal, but everyone I know is worried and hunkering down. People are saving and cutting nonessential spending.
Usually, I plan a vacation every year. This year, I am holding off until I know more about what the economy and job market will be like. All my friends and coworkers are talking about ways to save money and survive prolonged unemployment.
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> Consumers sharply curtailed their spending in January, indicating a potential weakening in economic growth ahead, according to a Commerce Department report Friday.
> Retail sales slipped 0.9% for the month from an upwardly revised 0.7% gain in December, even worse than the Dow Jones estimate for a 0.2% decline. The sales totals are adjusted for seasonality but not inflation for a month in which prices rose 0.5%.
> Excluding autos, prices fell 0.4%, also well off the consensus forecast for a 0.3% increase. A “control” measure that strips out several nonessential categories and figures directly into calculations for gross domestic product fell 0.8% after an upwardly revised increase of 0.8%.
> With consumer spending making up about two-thirds of all economic activity in the U.S., the sales numbers indicate a potential weakening in growth for the first quarter.
> Receipts at sporting goods, music and book stores tumbled 4.6% on the month, while online outlets reported a 1.9% decline and motor vehicles and parts spending dropped 2.8%. Gas stations along with food and drinking establishments both reported 0.9% increases.
https://preview.redd.it/ff87zlw144je1.jpeg?width=1200&format=pjpg&auto=webp&s=0f5d34589cd05208168375e3c38feff6cea732d5
This definitely matches what I am seeing irl. It’s anecdotal, but everyone I know is worried and hunkering down. People are saving and cutting nonessential spending.
Usually, I plan a vacation every year. This year, I am holding off until I know more about what the economy and job market will be like. All my friends and coworkers are talking about ways to save money and survive prolonged unemployment.