Release Date: November 25, 2008
Phone: 954-893-7300
Fax: 954-893-7500
E-mail: are@retailenvironments.org

link to previous articles

November 2008

A revised tally of the third quarter GDP showed the economy fared worse than originally plotted, down 0.5 percent on an annual basis, compared to a 0.3 percent dip announced earlier. The Federal Reserve reported that the nation’s industrial production slipped 1.3% in October with factory utilization at 76.4 percent, nearly a 5 percent drop from the 15 year average. The survey of leading economic indicators was down 0.8% in October. New home construction starts were off 4.5% in October, and sales of existing homes were down 3.1 percent in the same month. Even the nation’s labor productivity rate – which had been holding up well – slowed to an annual growth rate of 1.1%, down from a 3.6 percent increase in the previous quarter. Surprisingly, the Conference Board reported that consumer confidence, in face of the severe economic crisis, rose to an index of 44.9 in October, up from 38.8 the previous month.

LUMBER PRICES. The Bureau of Labor Statistics producer price index showed overall lumber price index in October at an index of 159.0 (1982 equals 100), down from 166.9 the previous month, and down from 171.2 for the same month a year ago. Hardwood lumber was at an index of 182.3, down slightly from 182.7 for the preceding month and down from 191.3 for the same month a year ago. Millwork prices were at an index of 206.4, up from 205.6 the preceding month, and up from 201.6 for the same period a year earlier.

FIXTURE LABOR FORCE. The Bureau of Labor Statistics reported that the average hourly wage in the fixture and furniture industry in October was $14.53 an hour, almost the same as a revised $14.54 the previous month, but up from $14.36 an hour a year ago. The average work week of non-supervisor workers was 37.5 hours, down from 38.1 hours the previous month, and down from 39.1 hours a year ago.

NEW STORE CONSTRUCTION. As partially reflected in Commerce Department figures on new commercial construction excluding office and hotels, new stores were part of the $7.42 billion annual rate value of retail and non-office commercial construction in September, down from a revised $7.60 billion the previous month, and down from $8.42 billion for the same month a year ago.

RETAIL SALES. Seasonally adjusted retail sales (excluding automotive) in October totaled $303.19 billion, down from a revised $310.03 billion for the previous month, but up from $300.33 billion for the same month a year ago. Unadjusted retail sales were $302.25, up from $295.16 billion for the previous month, and up from $297.13 billion a year ago. Seasonally adjusted department store sales totaled $16.22 billion, down from $16.43 the previous month, and down from $17.41 billion a year ago. Seasonally adjusted apparel and clothing store sales totaled $18.06 billion, down from $18.33 the previous month, and down from $18.82 billion for the same month a year ago.