NEW YORK (AP) — Shoppers unexpectedly paused their spending in December from November, closing out the holiday shopping season and the year on a lackluster tone.
The report, issued by the Commerce Department on Tuesday, surprised economists who were looking for growth despite mounting concerns about slowing job growth, uncertainty about President Donald Trump’s tariffs and other economic headwinds. And it raised questions about shoppers’ ability to spend after they have remained resilient for months despite souring consumer confidence, economists said.
Retail sales were flat in December from November, when business was up 0.6%, according to the Commerce Department. Economists were expecting a 0.4% increase for December.
The report was delayed because of the 43-day government shutdown.
Sales in October fell 0.1%, rose 0.1% in September, but jumped 0.6% in July and August and 1% in June, according to the Commerce Department.