Modest US Sales Gains in November

Americans increased their spending at a slower rate than expected in November, opting for more cars and home electronics, but away from bars, restaurants and grocery stores, according to government data.

Sales at U.S. retailers increased a seasonally adjusted 0.2% in November, the Commerce Department reported today. Excluding the volatile automobile sector, sales also rose 0.2%. Automobile sales can swing sharply from month to month and obscure underlying retail trends.

Economists were expecting stronger sales in light of robust demand for automobiles and a record increase in spending during the Thanksgiving holiday weekend. Some experts predicted retail sales to rise by 0.5% overall, or by 0.4% excluding the auto sector.