U.S. Consumer Spending up Strongly in October

U.S. retail sales continue to gain momentum ahead of the busiest shopping season of the year with October sales up 6.2 percent, according to the National Retail Federation (NRF).

October retail sales in the GAFS category (general merchandise stores, clothing and clothing accessories stores, furniture and home furnishings stores, electronics and appliances stores, and sporting goods, hobby, book and music stores) also rose 1.1 percent on the month.

October retail sales data published by the U.S. Commerce Department showed that total retail sales (including non-general merchandise categories such as autos, gasoline stations and restaurants) rose 5.6 percent unadjusted year-over-year and 0.2 percent seasonally adjusted for the month.

“Stronger-than-expected job growth and a sharp drop in oil prices are setting the stage for solid holiday growth," said NRF Chief Economist Rosalind Wells. "Consumers are demonstrating their resilience and continuing to reinforce our holiday forecast.”

The NRF forecasts consumers will spend $220 billion this holiday season.