Retail sales fell a seasonally adjusted 1.1% month-over-month in December amid the high inflation and supply chain disruptions. However, retail sales rose 6% on a year-over-year basis. October was the last strong retail sales month of 2022, as consumer spending has been robust despite the macro headwinds.
Retail sales might get a boost soon as inflation eases and the job market remains tight. Nonfarm payrolls increased by 517,000 in January, beating analysts’ estimate of 187,000, while the unemployment rate fell to 3.4%, the lowest since May 1969.
