US retail sales were expected to rebound but actually declined 0.6 percent last month (the third straight month of declines) and the year over year increase is a paltry 1.7 percent.
Internet sales were up 2.2 percent in February and 8.6 percent year-over-year, lending credibility to the harsh winter weather/dog ate my homework excuse.
Voya Financials notes in a report on Thursday:
- US consumer just can't seem to believe that lower gas prices are not a temporary fluke. However, increasing supplies, slower global demand, and a strong dollar are all conspiring to keep oil prices well below the high prices we became familiar with in the last few years.
- In addition, the latest jobs report shows that job openings climbed 2.5 percent in January to reach 5 million, the highest level since 2001. Good jobs market, low gas prices - get to the mall.
- March retail sales should reverse this trend but the subdued consumer spending thus far will hinder the GDP print in Q1.
