Retail Sales Plunge by 0.6 Percent
March 13th, 2008Via: AP:
Consumers, battered by plunging home prices and a credit crunch, stayed away from the malls in February, pushing retail sales down by a larger-than-expected amount. It was another worrisome sign that the country could be falling into a recession.
The Commerce Department reported Thursday that retail sales fell by 0.6 percent last month, far worse than the small 0.2 percent increase that analysts had been expecting.
The weakness was widespread with sales of autos, furniture and appliances all down.
It marked the second time in the past three months that retail sales have taken a tumble. Sales had fallen by an even bigger 0.7 percent in December, the largest drop in six months, as the nation’s retailers suffered through a dismal holiday shopping season. Sales posted a modest 0.4 percent gain in January.
Consumer spending is closely watched because it accounts for two-thirds of total economic activity.
I’m shocked that there is still a mall left standing.