Retail figures show we’re desperate for a bargain rather than flush with cash. The RBA should take note

‘The ABS has also noted that not only are we doing more of our Christmas shopping in November, but we are also starting to put off spending in October.’ Photograph: Con Chronis/AAP

When retail spending surges, the Reserve Bank can be of a mind to raise rates and slow the economy even more. But the big jump in spending in November is not a sign that we are flush with cash; more that our habits have changed and we love (and need) a bargain.

The monthly retail trade figures are a prime example of how analysing the economy requires more than just looking at numbers. To understand them you need to know what is happening in the real world.