(Sharecast News) - Americans pulled back on their spending at the start of the year.
According to the US Department of Commerce, in seasonally adjusted terms, retail sales volumes shrank in January at a month-on-month clip of 0.9% to reach $723.9bn (consensus: 0.3%).
The shortfall with respect to economists' forecasts was partially made up by an upwards revision to the prior month's reading from 0.4% to 0.7%.
Sales of motor vehicles and parts were down sharply, by 2.8% when compared with December.
In absolute terms, the decline accounted for over half of the drop in retail sales volumes.
Non-store retail sales also registered a hefty decline in absolute terms.
Furniture and home furnishing sales were also weak, falling by 1.7% while those of building materials dropped by 1.3% and those at sporting goods stores by 4.6%.
Sales at gasoline stations meanwhile rose 0.9% on the month.
In year-on-year terms, retail sales were ahead by 4.2%.
-- More to follow --