On the same day that DoLS reports unemployment claims are at their lowest level in 45 years; and on the same day when Reuters economist panel admits that wages are indeed going up quickly now; well, the November holiday sales results are being reviewed and the results are stunning.
(Reuters) U.S. retail sales increased more than expected in November as the holiday shopping season got off to a brisk start, pointing to sustained strength in the economy.
[…] The Commerce Department said retail sales rose 0.8 percent last month, with households buying a range of goods even as they cut back on purchases of motor vehicles. Data for October was revised to show sales gaining 0.5 percent instead of the previously reported 0.2 percent increase.
Retail sales accelerated 5.8 percent on an annual basis. Economists polled by Reuters had forecast retail sales increasing only 0.3 percent in November. (link)
5.8% growth over last year is BIGLY yuge. We’re talking about massive numbers. To move them almost 6% is bigly. Remember, retail sales account for approximately two-thirds of all U.S. economic activity within our GDP valuation. We are the world’s largest market economy.
In a separate report, the Labor Department said initial claims for state unemployment benefits dropped 11,000 to a seasonally adjusted 225,000 for the week ended Dec. 9. That was the lowest reading since mid-October when claims dropped to 223,000, a level not seen since March 1973.
[…] Last month’s increase in core retail sales suggested a strong pace of consumer spending in the fourth quarter. Consumer spending, which accounts for more than two-thirds of U.S. economic activity, is being supported by steady wage gains as the labor market tightens. (read full article)