US retail sales fall 0.6% to $689B in November

By Ovunc Kutlu

ISTANBUL (AA) - US retail sales declined 0.6% to $689.4 billion in November, more than the market expectation of a 0.1% fall, according to advanced figures.

Retail sales in October stood at $693.5 billion for a 1.3% gain.

On an annual basis, retail sales rose 6.5% in November from the same month of last year, a Commerce Department statement said on Thursday.

"Gasoline stations were up 16.2 percent from November 2021, while food services and drinking places were up 14.1 percent from last year," the statement said.

The contraction in retail sales in November on monthly basis indicates that consumer demand is falling in the world's largest economy with the Federal Reserve's aggressive monetary tightening to fight high inflation.

Annual consumer inflation in the US came in at 7.1% in November, easing from the 7.7% in October, according to the Labor Department on Tuesday.

The Fed on Wednesday raised its benchmark interest rate by 50 basis points, carrying the target range for the federal funds rate to between 4.25% and 4.5% -- its highest in 15 years.