Forexpros – Retail sales in the U.S. rose less-than-expected in January, while December’s figure was revised down to a flat reading, official data showed on Tuesday.

In a report, the U.S. Census Bureau said that retail sales rose by a seasonally adjusted 0.4% in January, falling short of expectations for a 0.8% increase.

December’s figure was revised down to a flat reading from a previously reported 0.1% increase.

Year-on-year, retail sales rose at an annualized rate of 5.8% in January, after advancing at a revised rate of 6.2% in the previous month.

Rising retail sales over time correlate with stronger economic growth, while weaker sales signal a declining economy.

Core retail sales, which exclude automobile sales, rose by 0.7% last month, above expectations for a 0.6% gain.

Core retail sales for December were revised to a 0.5% decline from a previously reported 0.2% drop.

Core retail sales rose at an annualized rate of 5.5% last month after climbing at a rate of 5.4% in December.

Core sales correspond most closely with the consumer spending component of the government’s gross domestic product report.

Following the release of the data, the U.S. dollar added to gains against the euro, with EUR/USD shedding 0.22% to trade at 1.3158.

Meanwhile, U.S. stock index futures turned lower after the release of the data. The Dow Jones Industrial Average futures indicated a loss of 0.15%, S&P 500 futures pointed to a drop of 0.2%, while the Nasdaq 100 futures fell 0.2%.

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