Research >> Economics
ICSC Chain Store Sales declined by 0.8% in May 12 Wk
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The International Council of Shopping Centers (ICSC) reported that chain store sales fell 0.8% from the prior week, the third consecutive decline and fourth drop in the past five weeks, while increasing 4.5% over the prior-year period during the week ending May 12th. “Despite the sales incentive with Mother’s Day on Sunday, weekly sales continued to slow this past week,” said Michael Niemira, ICSC’s vice president of research and chief economist. “There is some positive news on the horizon as the average price of gasoline at the pump receded for its sixth-consecutive week, which is helping to strengthen discretionary spending power,” Niemira added.
According to Weather Trends International (WTI), the national average temperature over the past week ending Saturday was 1.0°F cooler than last year, but 1.8°F warmer than its long‐term average. WTI noted that “Overall, the East was cooler and wetter with spring‐category demand off by as much as 4% for softlines and 10% for hardlines. The West was warmer and drier and will have seen the opposite effect in spring‐category demand.” Meanwhile, fuel prices had their sixth straight weekly pullback. The US Energy Information Administration said gas prices fell another 3.6 cents compared with the prior week to $3.54 on May 14th and, cumulatively, by 18.7 cents over the past six weeks. Compared with the same week of the prior year, the price of regular‐grade gasoline fell by 5.2% in the latest week, which was its largest decline since the week ending October 19, 2009. For all of May, ICSC Research forecasts a comparable‐store sales gain of about 3% (including drug stores, which will be reported later due to the calendar). Excluding drug stores, sales are expected to increase by around 5%.
Posted: May 15, 2012 Tuesday 07:45 AM