California Business Minute™

Hi, I am Tim Johnson and welcome to the California Business Minute.

Retail sales rose for the seven straight month, however, far less than what
analysts had hoped.

The Commerce Department reported that U.S. retail sales increased were $381.6
in January, an increase of 0.3 percent from the $380.9 billion reported in
December. It was also an increase of 7.8 percent (±0.7%) from January 2010.

The declines were small for each category such as auto sales and parts along
with furniture and home furnishings, electronics and appliances clothing, food
and beverage, health and personal care and general merchandise.

The increase was the lowest since June of last year.  Analysts are concerned
that the increasing costs at the gas pump and at the grocery store could be
an indicator of things to come as consumers tighten their belts impacting
spending on discretionary items. Analysts are quick to point out that they
need more months of data to determine a trend.Some analysts are concerned that
 the hiring by some, such as today’s announcement by Home Depot to hire an
estimated 60,000 across the nation for seasonal help may be impacted if a
downward trend occurs.

I am Tim Johnson and this has been the California Business Minute.