January Retail Sales Rise Despite Inflation Woes
Following a December slip, monthly retail sales exceeded expectations in the face of inflation, the Omicron variant, and other challenges.

Sales were up 3.8 percent month-over-month in January to $649.8 billion, according to data from the U.S. Department of Commerce released Wednesday, while year-over-year sales were up 13 percent.
The results exceeded analyst expectations of a month-over-month increase of 2.1 percent.
December sales were weaker than previously thought, down 2.5 percent month-over-month rather than the previously reported 1.9 percent, as per the revised figures.
The numbers provided are not adjusted for inflation, but consumers have been battling rising prices.
The consumer price index, which measures the average change in prices over time consumers will pay for a basket of goods and services, rose 0.6 percent month-over-month in January and 7.5 percent year-over-year, the largest 12-month increase since February 1982.
“Consumers say they are worried about inflation, but they continue to spend,” wrote PNC Chief Economist Gus Faucher in an analyst note quoted by CNBC.
“Even taking into account the December decline, retail sales in recent months have been increasing much faster than prices, so households are purchasing larger volumes of goods and services, not just paying higher prices.”
The National Retail Federations calculation of retail sales—which excludes automobile dealers, gasoline stations and restaurants to focus on core retail—showed January was up 4.7 percent seasonally adjusted from December and up 8.5 percent unadjusted year-over-year.
“January’s numbers show that 2022 is starting very strong for consumers and retailers, especially on the heels of a record holiday season and record sales in 2021,” said NRF President and CEO Matthew Shay in a press release about the results.
The NRF’s holiday season runs from Nov.1 to Dec. 31, and sales for that period reached a record high. However, month-over-month sales in December were down, due in part to an early start to holiday shopping.
For the month of January, Shay noted retailers currently face many challenges including inflation, labor shortages, COVID-19, and uncertainty related to international tensions in Russia and China.
NRF Chief Economist Jack Kleinhenz also highlighted the myriad issues faced by retailers, making January’s sales “all the more impressive.”
“A triad of forces weighed on consumer behavior and spending as weather slammed a large portion of the United States, the omicron variant was relentless, and inflation was escalating. On top of that, the enhanced child care tax credit ceased at the end of 2021, impacting millions of families. Despite all that, consumers ramped up spending even after a record-breaking holiday season.”
The strong numbers in the face of these issues show that consumers are spending, said Shay, and that the economy is in “good shape,” making Shay hopeful yet cautious for the year ahead.
“We are confident that retail sales growth and overall consumer financial health can continue, and current pressures in the economy should be moderated if election-year political pressures don’t result in policy decisions that compound the challenges our economy is already facing.”
Breaking it down by category, January sales were up on a monthly and yearly basis in all but two sectors. Sporting goods stores and electronic and appliance stores both saw slight year-over-year declines.
Year-over-year gains were led by clothing stores, building materials stores and online sales.
The Latest

The U.K, Canada, and Japan have also banned the import of gold originating from Russia.

Jewelry marketing expert Laryssa Wirstiuk shares her tips and tricks for hosting a livestream shopping session.

The current agreement, originally set to expire in 2020, will now go through June 2023.

Rare & Forever is helping to create an enjoyable diamond buying experience for the millions of newly-engaged couples.

The brands have collaborated on a fine jewelry ode to cannabis.


Sponsored by HiBid

Plus, JSA President John Kennedy talks about the trajectory of industry crime over the last 20 years.

Experience all the Italian Jewelry market has to offer in Las Vegas.

The fair was evacuated temporarily Tuesday after four suspects smashed a showcase and stole jewelry from British jeweler Symbolic & Chase.

The 21st annual awards show and gala will take place in New York City next March.
The jewelry trade show is scheduled for Sept. 30-Oct. 3 at the Miami Beach Convention Center.

It is the fifth acquisition under the ownership of private equity firm Epiris, which bought Bonhams in 2018.

The “Celebration Infinite” diamond has more than three times the number of facets in a traditional brilliant-cut diamond, the retailer said.

The brand again partnered with the Frank Sinatra School of the Arts High School to celebrate the launch of the “Summer Wind” watches.

Scheduled for Sept. 8-11, the event will comprise more than 310,000 square feet of show floor, exhibits, and education space.

If you’re having trouble answering this question, columnist Lilian Raji can help you get a started with a few fill-in-the-blank statements.

Continental Diamond in Minneapolis is awarding a total of $25,000 in prizes via daily sweepstakes.

“Lenox” marks the designer’s foray into bespoke jewels and large colored gemstones.

“Confluence” is happening in August.

He first took a job at then Philadelphia-based Jewelers’ Circular-Keystone in 1963 and retired in 1996.

The lifestyle platform will stock fine jewelry and watches from the retailers on its website and in store.

It cited two recent cases in California, plus incidents in Florida, Kansas, and Illinois.

The 10,000-square-foot location allows for expanded collections from design partners while continuing custom design and other services.

Svetlana Lazar’s “Wishing Well” collection utilizes an innovative component to mimic the movement of water beneath them.

Watch the webinar in which National Jeweler’s editors talk about jewelry market week trends and their predictions for the rest of 2022.

All proceeds up to $25,000 will benefit the It Gets Better Project, a nonprofit that supports LGBTQ+ youth.