FX.co ★ US retail sales at one-year high

The retail sales in the United States rose 1.3% in April from a month ago, the Commerce Department said. US retail sales gained the most since March 2015. In the meantime, analysts had expected a 0.8% increase. In March 2016 sales dropped 0.3%.
Retail sales excluding automobiles, gasoline and building materials rose 0.9% in April of 2016, while experts had anticipated a rise of 0.4%. In March sales advanced 0.2% from the previously reported gain of 0.1%.
Sales excluding autos last month increased 0.8% after rising 0.4% in March. Economists had predicted a 0.5% rise.
Retail sales in 11 out of 13 major categories increased in April. Sales of furniture rose 0.7%, while those of food and beverages gained 0.9%. Retailers of clothes saw their sales rise by 1%. Moreover, auto sales advanced 3.2%.
Meanwhile, sales of building materials declined 1%. Sales of general goods were unchanged.
According to experts, financial situation of Americans improved, and therefore the debt reduced and savings increased. This means that deteriorating labor market situation and growing gasoline prices had little effect on consumers. In turn, retailers are able to recover after an unsuccessful start of the year.
Thus, J.C. Penney's net loss narrowed to $68 million or 22 cents per share in the first quarter of 2016 from $150 million, or 49 cents per share, a year earlier. The retailer’s net sales fell to $2.81 billion from $2.86 billion a year ago.