Feb. 15, 2024 — According to the National Retail Federation (NRF), U.S. Census Bureau data shows consumers were still engaged despite slowed retail sales in January.

NRF chief economist Jack Kleinhenz cites extreme weather as a reason product demand and consumption patterns were disrupted. “January prices for goods came down, which affects sales figures even if the same number of items are sold, and increased prices for services pulled dollars away from retail purchases,” says Kleinhenz. “Nonetheless, January’s numbers point to the U.S. economy and labor market continuing to chug along.”

Findings from the U.S. Census Bureau show overall retail sales in January were down 0.8% from December but up 0.6% year over year, compared to increases of 0.4% month over month and 5.3% year over year in December.

NRF’s calculation of sales—which excludes auto dealers, gas stations, and restaurants—showed January down 0.8% from December but up 2.8% year over year. On a three-month moving average as of January, core retail sales were up 3.2% unadjusted year over year.

This data align with the CNBC/NRF Retail Monitor, powered by Affinity Solutions, which reported Monday that January sales nearly matched December’s levels—down just 0.04% seasonally adjusted from October and up 3.24% unadjusted year over year, compared to increases of 0.19% month over month and 2.4% year over year in December.