Retail Sales Rebound on Car Buying, Holiday Sales

U.S. retail sales rose in November by the most since July, fueled by a rebound in auto purchases and resilient holiday shopping.

The value of retail purchases, not adjusted for inflation, increased 0.6% after a downwardly revised 0.1% drop in October, Commerce Department data showed on January 14.

Excluding cars, sales climbed 0.5%. The report was delayed by the government shutdown.

Ten out of 13 categories posted increases, including sporting goods and hobby stores as well as building materials retailers and clothing outlets.

Motor vehicle sales bounced back after the expiration of federal tax incentives on electric cars restrained sales in the prior month. Higher receipts at gasoline stations also contributed to the overall gain.

Spending at restaurants and bars, the only service-sector category in the retail report, gained 0.6% after falling in the prior month.