Home Logon FTA Investment Managers Blog Subscribe About Us Contact Us

Search by Ticker, Keyword or CUSIP       
 
 

Blog Home
   Brian Wesbury
Chief Economist
 
Bio
X •  LinkedIn
   Bob Stein
Deputy Chief Economist
Bio
X •  LinkedIn
 
  Retail Sales Increased 1.1% in March
Posted Under: Data Watch • Retail Sales
Supporting Image for Blog Post

 
Implications: Today's retail sales report shows consumers are not only venturing out again after a very harsh winter, but making up for lost time. After falling in December and January, overall retail sales have increased at an 11.8% annual rate in the past two months. Sales of autos led the way growing 3.1% in March, the largest monthly gain since September 2012. But the spike in sales in March is not just due to volatile auto sales. "Core" sales, which exclude autos, building materials and gas, rose 0.9% in March and were revised higher for previous months. These "core" sales are a key input into the GDP data and it looks like "real" (inflation-adjusted) consumer spending, goods and services combined, grew at a about a 2% annual rate in Q1, in spite of the brutal winter weather throughout much of the country. To put this in perspective, over the past three years, real consumer spending is up at a 2.1% annual rate. For consumer spending to grow over this winter at basically the same trend as the past three years, the underlying fundamentals must be improving. And when we look at debt levels, wage growth and employment gains, we think these gains are sustainable. The one caveat is that real GDP growth likely slowed in Q1 to about a 0.5% rate. But this is largely due to a temporary issue with inventories and we expect real GDP to sharply re-accelerate in Q2. The Plow Horse, recently de-iced, is picking up his pace.

Click here for a PDF version
Posted on Monday, April 14, 2014 @ 10:23 AM • Post Link Print this post Printer Friendly

These posts were prepared by First Trust Advisors L.P., and reflect the current opinion of the authors. They are based upon sources and data believed to be accurate and reliable. Opinions and forward looking statements expressed are subject to change without notice. This information does not constitute a solicitation or an offer to buy or sell any security.
Search Posts
 PREVIOUS POSTS
The Producer Price Index (PPI) Rose 0.5% in March
Plow Horse Gets De-Iced
Nonfarm payrolls increased 192,000 in March
The ISM non-manufacturing index increased to 53.1 in March
The trade deficit in goods and services came in at $42.3 billion in February
The ISM Manufacturing Index Increased to 53.7 in March from 53.2 in February
Repudiating Milton Friedman
Personal Income and Personal Spending Increased 0.3% in February
Real GDP Growth in Q4 Revised Up to a 2.6% Annual Rate
New Orders for Durable Goods Increased 2.2% in February
Archive
Skip Navigation Links.
Expand 20242024
Expand 20232023
Expand 20222022
Expand 20212021
Expand 20202020
Expand 20192019
Expand 20182018
Expand 20172017
Expand 20162016
Expand 20152015
Expand 20142014
Expand 20132013
Expand 20122012
Expand 20112011
Expand 20102010

Search by Topic
Skip Navigation Links.

 
The information presented is not intended to constitute an investment recommendation for, or advice to, any specific person. By providing this information, First Trust is not undertaking to give advice in any fiduciary capacity within the meaning of ERISA, the Internal Revenue Code or any other regulatory framework. Financial professionals are responsible for evaluating investment risks independently and for exercising independent judgment in determining whether investments are appropriate for their clients.
Follow First Trust:  
First Trust Portfolios L.P.  Member SIPC and FINRA. (Form CRS)   •  First Trust Advisors L.P. (Form CRS)
Home |  Important Legal Information |  Privacy Policy |  California Privacy Policy |  Business Continuity Plan |  FINRA BrokerCheck
Copyright © 2024 All rights reserved.