Retail Sales Research Brief

Consumers' priorities reflected in annual gains. While the 2.2 percent year-over-year gain in total core retail sales reported in February failed to match the 3.8 percent rise in core CPI, three key categories bucked this trend. Rising sales amid moderating or falling prices point to what purchases households are prioritizing amid tightening budgets. Factoring in inflation, apparel sales rose 1.3 percent year-over-year in real terms last month, while electronics and appliance sales grew by 1.9 percent amid a more than 5 percent drop in pricing. Restaurants and bars, meanwhile, registered a 1.8 percent increase in annual sales when factoring in inflation in the segment. Should positive gains continue across these categories, shopping center owners with diverse tenant mixes stand to benefit.