Retail Sales Turning Around, NRF Says
Economic recovery for retailers will continue to climb steadily, according to a statement from Rosalind Wells, chief economist for the National Retail Federation.
In a recent issue of the NRF’s Retail Sales Outlook newsletter, Wells wrote that retail sales increased 2.5 percent in the first quarter of 2010, and she forecast that retail sales will climb to 3.5 percent in the second quarter of 2010.
“Consumers seem in better spirits,” she wrote. “[They’re] more optimistic about the economy and their finances.”
A mostly steady improvement in sales has registered throughout the retail sector in the first half of 2010, according to reports issued by many chain stores that indicate increased same-store sales. The sales have been supported by increased consumer confidence and an improved employment picture.
While still historically low, consumer confidence increased for the third consecutive month, according to research from the Conference Board’s influential Consumer Confidence Index. The index’s measurement increased to 63.3 in May following growth from 57.7 in April.
The outlook for employment has improved, too. More than 1 million jobs have been created this year; however, half of the jobs were temporary government jobs for the 2010 Census. While unemployment remains high—9.7 percent across the United States—Wells wrote that the increase in employment has been a positive sign for the economy and made many consumers more confident.—Andrew Asch
