U.S. retail sales steadily increased in December
Retail sales in the United States grew steadily in December, showing strong economic demand and further reinforcing the Federal Reserve's cautious attitude towards interest rate cuts this year. Data released on Thursday showed that retail sales increased by 0.4% last month, while after revision, November's retail sales growth was 0.8%. Economists surveyed had previously predicted a 0.6% increase in retail sales for December. Before the report was released, non-farm employment surged last week, with the unemployment rate dropping from 4.2% in November to 4.1%. In addition, although potential inflation slowed down in December, the overall consumer price index hit its biggest increase in nine months. Currently, labor market resilience is driving spending through steady wage growth. Household balance sheets are also healthy but low-income consumers are struggling.
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