ARLINGTON, Va.—Total retail sales rose 0.4% in December, and November's and October's sales figures were revised upward, according to the Census Bureau.
NAFCU Research Assistant Yun Cohen, in a NAFCU Macro Data Flash report, noted that 2017's retail sales had the largest gain at 4.2% since 2014.
"Retail sales are expected to strengthen further in 2018 in light of a strong labor market and tax stimulus," Cohen said.
Data published by the Census Bureau showed that November's sales growth was revised up from 0.8% to 0.9%, and October's was revised up again from 0.5% to 0.7%. Core retail sales (excluding light vehicles and gasoline) rose 0.4% in December; auto and gas sales grew 0.2%, Cohen said.
Year-over-year growth in retail sales was 5.4% in December, down from 6% in November. Core retail sales increased 6% from a year ago, which marks the largest gain since January 2015. Auto and gas sales rose 4.1%.
Cohen said major retail segments had mixed sales in December.
"Sales at gas stations were unchanged in December as gasoline prices decreased," Cohen said. "Meanwhile, auto and parts dealers reported a small increase of 0.2%. Within the core section, online retailers and building supplies stores posted strong gains. The latter was in part due to rebuilding activities related to recent disasters."
Sales at miscellaneous store retailers decreased by 2.9%, followed by sporting goods and hobby stores (-1.6%) and apparel stores (-0.3%), Cohen said.