Retail sales in the US decreased 0.1% in October 2023 from the previous month but grew 2.5% year-over-year (YoY), according to data from the National Retail Federation (NRF).

During the month, retail sales excluding automobile dealers, gasoline stations and restaurants, rose by 3.1% unadjusted YoY on a three-month moving average as of October. It increased by 3.7% for the first ten months of the year.

The figures, which are based on data from the US Census Bureau, revealed that sales for furniture and home furnishing stores dropped 2.0% in October and general merchandise store sales declined 0.2%.

Clothing store sales were unchanged in October while sales for electronics and appliance outlets grew 0.6%.

During the month, sales for food and beverage stores as well as food services and drinking places increased by 0.6% and 0.3%, respectively.

Sales for health and personal care stores increased by 1.1%, but sales of sporting goods, hobby, musical instruments and bookstores, as well as miscellaneous stores, dropped by 0.8% and 1.7%, respectively in October 2023.

Non-store retailers registered sales growth of 0.2% over the month.

National Retail Federation chief economist Jack Kleinhenz said: “Fourth-quarter consumer spending stepped off on a more moderate pace, as expected. The staying power of the American consumer has been the story of 2023, but financial conditions have tightened appreciably in recent months, curbing the purchasing power fuelled by job and wage gains. Nonetheless, continued consumer resilience is still expected for the holiday season.”