US retail sales increased 0.7% MoM in November, up from 0.4% MoM in October and above expectations of an 0.5% MoM increase. Ex-auto sales were up only 0.2% MoM, below expectations of an 0.4% MoM increase. Auto vehicle & parts sales, thus, saw a strong increase of 2.6% MoM, driving the headline gains. The YoY increase in nominal retail sales at 3.8% YoY is the highest since December 2023 after today's strong increase in auto sales fueled a headline beat.

Sales were muted in other categories with furniture up just 0.3% MoM, electronics up 0.3% MoM, health & personal care flat, and gas sales up 0.1% MoM. Food & beverage, clothing, general merchandise, and food services & drinking all saw small declines. Outside of autos, the strongest segment of sales was nonstore retail sales, up 1.8% MoM and 9.8% YoY (the highest annual growth across all segments).