Photo: LittleMissSilly, Flickr
All hail the US consumer, which refused to die.From Nomura:
In the first week of the October retail calendar (ending 8 October), the Johnson Redbook retail index increased 4.8% y-o-y (-0.6% m-o-m) and beat the target 4.6% y-o-y (-0.8% m-o-m). According to the Redbook, retail activity started the week off slowly, but then picked up in preparation for the Columbus Day holiday. Promotional pricing may have boosted spending. Sales during this season are concentrated in seasonal apparel, Halloween, winter sports, and early holiday. The warm weather in much of the US, especially the Northeast, likely constrained purchases of seasonal apparel in the week. The International Council of Shopping centres (ICSC) cited this as the reason for the 0.1% w-o-w decline (+2.8% y-o-y) in the ICSC-Goldman Sachs chain-store sales index. Warm weather was not nationwide. In fact, the first major fall storm in the West led to “1-2 feet of mountain snow in the Sierra’s and Cascades,” according to Weather Trends International.