Overview

• U.S. retail sales increased by 0.4% in December, marking the fourth consecutive monthly gain, driven by strong performance in categories like furniture and sporting goods.
• Holiday sales in the U.S. exceeded expectations, rising 4% year-over-year, supported by e-commerce growth and easing inflation, according to the National Retail Federation.
• The UK experienced a 0.3% decline in December retail sales, with food sales hitting their lowest level since 2013 and building materials also seeing sharp drops.
• Clothing and household goods sectors performed well in both the U.S. and UK, aided by late Black Friday promotions and holiday shopping.
• Shifts in consumer payment preferences, including increased use of buy now, pay later options, were observed during the holiday season, reflecting broader economic pressures.