The Commerce Department released the data of January retail sales on Friday. According to the data the retail sales increased by 0.5% last month and beat the expectations of 0.3% increase which the economists had expected. Retail sales growth in January is mostly driven by strength in discount retailers and online merchants, according to the report. The increased retail sales promised a sign of recovery for the economy in the first quarter of the year.
In addition, The Commerce Department also revised the December and November data as they both show stronger spending. December sales were revised to down only 0.1%, compared with the previously reported fall of 0.3%, while November sales were revised to up 2% from 1.8% previously.
Motor vehicle and parts purchases were reported flat in January, while it saw a 0.1% growth in December. Excluding motor vehicles and parts, retail sales rose 0.6% in January after falling down 0.2% in the month of December.
The growth of overall economy was reported 5.7% annually in the October December period. This is the best figure in past six years, but this growth could get slowed in recent future as the government is planning to take back its stimulus programs and also the unemployment rate was reported remains very high in U.S.