Retail Sales in U.S. Decreased More Than Forecast

The video discusses the discrepancy between economists' estimates and actual retail sales figures, highlighting a greater-than-expected drop. It examines the factors contributing to this softness, such as subdued auto sales and reduced prices for items like gas. Despite a previous strong performance, retail sales have recently underperformed, partly due to falling oil prices affecting consumer spending patterns. The video also explores the potential impact on the equities market.

What was the economists' expectation for retail sales change due to reduced prices?

• No change

• A gain of 0.5%

• A drop of 0.1%

• A gain of 1%

What was the actual drop in retail sales reported?

• 0.1%

• 0.4%

• 0.2%

• 0.3%

How do economists often adjust retail sales figures to smooth out fluctuations?

• By including only food sales

• By excluding auto sales

• By excluding gas prices

• By averaging over two months

What was one of the main reasons for the better retail sales performance in the previous month?

• Higher gas prices

• Increased auto sales

• Reduced consumer spending

• Increased building material sales

How might falling oil prices affect consumer spending according to the video?

• Consumers will spend more on other goods

• Consumers will save more money

• Consumers will spend less on other goods

• Consumers will invest in stocks