--US January retail sales +0.7%; ex-automotive sales +0.8%
--US Dec retail sales unrevised at +0.1%; ex-autos unchanged
--US Jan durable goods sales +0.8%; non-durable sales +0.7%
--US Jan auto sales +0.6%; durable goods ex-autos +1.1%
--US Jan building material sales +1.1%; furniture +1.5%
--US Jan dept store sales +0.4%; food stores -0.2%
--US Jan gas station sales +2.5%; clothing +0.9%

By Andrew Williams, BridgeNews
Washington--Feb. 13--Despite the recent dive in consumer confidence and fears of an economic contraction in the first quarter, retail sales climbed 0.7% in January, spurred by deep discounting in several sectors. The increase topped analysts' expectations of a 0.5% rise. Excluding automobiles, sales of which are volatile, sales were up 0.8%, double analysts' expectations of a 0.4% rise.
* * * In December, sales rose an unrevised 0.1%; excluding autos, sales were unchanged, the Commerce Department said Tuesday.
Following stronger-than-expected January sales reports from the leading car producers, the latest Commerce Department snapshot of retail activity showed automobile sales accelerating 0.6%, after rising a revised 0.4% in December.
In an effort to clear inventory after a less than stellar holiday shopping season, retail activity at the nation's department stores improved slightly, climbing 0.4% in January after falling a revised 0.4% the previous month.
The report arrives just hours before Federal Reserve Chairman Greenspan presents his assessment of the U.S. economy to the Senate Banking Committee. On Jan. 31, the Fed cited weakening retail sales as one reason it cut short-term interest rates. Now, policy-makers are sure to take note of today's report in hopes of finding evidence that consumer confidence is not declining further.
However, prior to the release of the retail report, economists warned that a rise in retail sales in January may owe more to deep discounting than to a reversal in consumer sentiment. Don Hibler of Wells Fargo said prior to the release that a gain is likely to be a "one-month oddity," followed by further declines.
Commerce said sales of durable goods--those designed to last more than three years and so most sensitive to interest rates because they are usually bought with borrowed money--rose 0.8%. In the prior month, durable goods sales were revised to unchanged.
Excluding autos, durable goods sales rose 1.1% in January, reversing December's 0.6% drop, a Commerce official said. This gain may be due to the healthy U.S. housing sector, which has helped sales of home-related durable goods remain stable, analysts said prior to today's report. In the latest sign that the housing sector remains buoyant, building material sales rose 1.1% in January, after climbing a revised 0.8% in December, originally reported down 0.1%. Furniture sales climbed 1.5% in January, rebounding from December's 0.9% slide.

NON-DURABLE GOODS
Retail sales in the larger non-durable goods sector rose 0.7%, after increasing a revised 0.2% in December.
Sales at gasoline stations climbed 2.5%, reversing December's revised 2.8% drop.

WHAT WAS EXPECTED
Private estimates for overall sales ran from down 0.9% to up 0.8%, while non-automotive sales were seen unchanged to up 0.7%.
OTHER DETAILS, HISTORICALS
--January retail sales rose to a seasonally adjusted $273.268 billion. Sales were up 3.5% versus a year earlier.
--Excluding the automotive sector, sales stood at $206.405 billion. Non-auto sales were 5.0% above their year-earlier level. End
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