Retail sales move ahead in February

The U.S. Census Bureau reported this morning that advance estimates of U.S. retail and food services sales for February 2024 climbed 0.6% to $700.7 billion.

The figure is adjusted for seasonal variation and holiday and trading-day differences, but not for price changes. The latest figure is also up 1.5% above February 2023. 

Total sales for the December 2023 through February 2024 period were up 2.1% from the same period a year ago. The December 2023 to January 2024 percent change was revised from down 0.8% to down 1.1%. 

Retail trade sales were up 0.6% from January 2024, and up 0.8% above last year. 

NAICS 444 sales — advanced sales for building material and garden supplies dealers — increased 2.2% but are down 6.1% from February 2023.

Estimates of January 2024 sales at hardware stores — NAICS 4413 — increased nearly 10% to $3 billion from January 2023 sales of $2.73 billion.

Commenting on the report, National Retail Federation Chief Economist Jack Kleinhenz said retail sales expanded in February after a flat January.

“Retail sales rebounded in a solid fashion in February, showing the consumer is still spending and pointing to underlying strength in the economy,” Kleinhenz said. “These results indicate that the economy is continuing to expand in the first quarter despite tight credit conditions and still-elevated inflation."

"Jobs gains, wage increases, and continued GDP growth are supporting household spending. Spending on services remains elevated while spending on goods has softened, but both sectors are still growing," Kleinhenz added.