U.S retailers encountered surprisingly strong sales gains for the month of February. The surge in retail sales suggests that people are benefiting from the economic recovery. Chief economist, Michael Niemira stated that high retail sales are adding more retail jobs.
He believes that the economy may be shifting, at least technically, from recovery to expansion. In recent months, retails sales have been improving. Some economists’ worry that rising gas prices could affect shopper’s budgets just as the sector is building momentum.
This could be a major setback for retail sales. Target Corp’s sales remained lackluster, however, Target’s total retail sales rose 2.4 percent in February, compared to the 2010 period. The high sales in February could catch on and help increase retail jobs and help improve the economy.
Target said it expects a decline in its March comparable-store sales, partly because the Easter holiday is later this year. It expects same-store sales in April to be very strong. If the momentum in February sales can remain we can expect some real improvements in the economy. The more retail sales, the more job opportunity for that sector. Retail sales are a great way to judge progress in a struggling economy.
Target Corp, however, posted a same-store sales increase of just 1.8 percent; similar to the low increases the discounter has posted in most of the preceding seven months.
Target’s total retail sales increased 2.4 percent in February, compared to the 2010 period.