October Retail Sales Come In Very Strong At 1.2%, September Revised Higher

The number:

The headline number of 1.2% is way above expectations, although ex-autos they were right in line at 0.4%.

September was also revised higher. So, solidly above expectations… as expected.

Stocks are pointing to a higher open, though just a little less so than they were before the release.

Background: This is a very important look into Q4 GDP. Officially, analysts are looking for about 0.7% growth on the retail sales headline, and 0.4% ex-autos.

But there’s definitely a lot of optimism, and it feels as though the “whisper number” is higher.

If it’s a miss, and we backslide form last month’s 0.6%, then that’s definitely a punch in the gut for the bulls.

For more background, see here.

NOW WATCH: Money & Markets videos

Want to read a more in-depth view on the trends influencing Australian business and the global economy? BI / Research is designed to help executives and industry leaders understand the major challenges and opportunities for industry, technology, strategy and the economy in the future. Sign up for free at research.businessinsider.com.au.