**MNI: 5 Things We Learned From December Retail Sales Data>

By Kevin Kastner, Sara Haire and Holly Stokes

     WASHINGTON (MNI) - The following are the key points from the 

December retail sales report from the Commerce Department released 

Friday: 

     - The December retail sales headline number was up 0.4%, as 

expected, but well below the whisper number of a 0.7% gain as the 

rebound in motor vehicle sales was more modest than some believed. Sales 

outside of motor vehicles were modestly stronger than expected. The data 

point to a strong PCE number for the fourth quarter. 

     - Retail sales excluding motor vehicle were also up 0.4%, 

moderately stronger than the 0.3% rise expected, as motor vehicle sales 

rose 0.2%. November sales rev up to a 0.9% gain and are now up 1.3% ex 

motor vehicle. October sales were also revised higher. 

     - December sales rose 0.4% ex. motor vehicle and gas and up 0.3% ex 

auto, building materials, gas and food services, suggesting continuing 

underlying strength, though slower than the November surge. 

     - Gas station sales were flat (retail sales ex. gas increased 0.4%),

while building materials rose 1.2% and food services sales rose 0.7%. 

The other categories were mixed, with clothing, electronics and sporting

goods down. 

     - December total sales were up 11.3% vs 3Q average at an annual 

rate and were up 10.6% ex motor vehicles and up 8.9% ex autos, building 

materials, gas, and food services, suggesting solid growth for 4Q PCE. 

     ** MNI Washington Bureau: 202-371-2121 ** 

[TOPICS: MAUDS$,M$U$$$,MAUDR$]