Strong November sales cheer merchants

0 Comments | USA TODAY, December, 2003 | by Barbara Hagenbaugh

WASHINGTON -- Retailers saw big sales gains in November, the government said Thursday in a report that suggested consumers were in a spending mood heading into the key holiday shopping season.

Retail sales rose 0.9% in November, the biggest gain since August, after being flat in October. Gains were seen in a broad range of categories, including cars, electronics, furniture and clothing.

Economists, who closely track consumer spending because it accounts for 70% of U.S. economic activity, say the report suggests holiday sales will be strong enough to provide momentum into 2004. "Holiday retail sales now look like they will rise more than expected," Wachovia Securities senior economist Mark Vitner says.

Jay Dunbar, owner of CD Warehouse, a CD, DVD and game...