U.S. consumer spending increased by 4.2% year over year to $513.5 billion in November and up by 0.2% month over month from an upwardly revised October total of $512.4 billion. The U.S. Census Bureau released its estimated retail sales data for November Friday morning. A poll of economists had forecast that retail sales would rise 0.1% from sales in October.
In general, this is a solid, but not exactly great, report. Lower gasoline prices gave consumers more cash in their pockets and spend they did, primarily online and in big-box stores. Last year was a big one for retailers, giving 2018 comparisons a high hurdle. For the year to date, total retail sales are up 5.3% compared with the year-ago total.
November sales were lower month over month in just three business categories: gasoline stations, clothing and accessories stores, and food/drinking places. Total retail sales, excluding gas stations, were 0.5 points higher than in October.
Sales of motor vehicles rose by 0.2% month over month from October and rose 1.3% compared with November 2017. Car sales totaled $103.7 billion last month on an adjusted basis, higher than the upwardly adjusted October total of $103.5 billion. November 2018 sales were up by about $1.5 billion over November 2017 sales.
Retail trade sales rose 0.3% month over month and increased 4% year over year. Nonstore retail sales (primarily e-commerce) rose 10.8% year over year.
Gasoline station sales fell by 2.3% month over month and are up 8.2% year over year. The year-over-year increase is due largely to higher pump prices through the summer and into the fall, while the drop month over month is due to a recent plunge in crude oil prices. Adjusted gas sales totaled about $3.5 billion more in November than in the same month last year.
Electronics stores posted a sales increase of 1.4% month over month and a year-over-year increase of 4% in sales.
Department stores posted a month-over-month sales increase of 0.4%, and they were down 0.2% year over year.
Sales of sporting goods/hobby/musical instruments/books were up 0.4% month over month but down 8.8% year over year.
Food services and bar sales decreased by 0.5% month over month but remain up by 5.6% year over year.
Clothing stores posted a month-over-month sales decline of 0.2% but have added 4.1% year to date compared to November 2017.
The Average American Is Losing Momentum On Their Savings Every Day (Sponsor)
If you’re like many Americans and keep your money ‘safe’ in a checking or savings account, think again. The average yield on a savings account is a paltry .4%1 today. Checking accounts are even worse.
But there is good news. To win qualified customers, some accounts are paying more than 7x the national average. That’s an incredible way to keep your money safe and earn more at the same time. Our top pick for high yield savings accounts includes other benefits as well. You can earn a $200 bonus and up to 7X the national average with qualifying deposits. Terms apply. Member, FDIC.
Click here to see how much more you could be earning on your savings today. It takes just a few minutes to open an account to make your money work for you.
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.
Latest from 24/7
Our expert who first called NVIDIA in 2009 is predicting 2025 will see a historic AI breakthrough.
You can follow him investing $500,000 of his own money on our top AI stocks for free.