April, Retailer | featured news

Big chains report an 8.9% increase from a year earlier, led by discounters and apparel stores. A later Easter is considered only partly responsible for the big jump.

Retail sales and industrial production in April both enjoyed continued growth, reinforcing the sustainability of the economic recovery in the United States. On Friday the U.S. Commerce Department reported retail sales gained 0.4% in April, ahead of Wall Street’s expected 0.2% rise, but below the 2.1% jump in March. Peter Newland, economist at Barclays Capital, notes that the total was driven by a 0.5% increase in both autos and gasoline, and a 6.9% jump in building material sales. All of that is nice, but core sales, which exclude these elements, actually fell 0.2%, which is much weaker than excepted.

Early reports from retailers show that Americans took a a breather from their March shopping spree in April, partly because Easter came earlier. But the spring selling season is ending up respectable, an encouraging sign for the economy....

Retail sales fell for a second straight month in April, a disappointing performance that raised doubts about whether consumers were regaining their desire to shop. A rebound in consumer demand is a necessary ingredient for ending the recession.