US retail sales fell 0.4 per cent in January; cold weather slowed auto and clothes shopping

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In this Monday, Jan. 13, 2014 photo, shoppers check out the sale at an ALDO store in the Mall at Robinson, in Robinson Township, Pa. The U.S. Commerce Department reports on spending at retail businesses and restaurants in January, on Thursday, Feb. 13, 2014. (AP Photo/Gene J. Puskar)

WASHINGTON – Cold weather caused U.S. retail sales to drop in January. Americans spent less on autos and clothing and at restaurants during a brutally cold month.

The Commerce Department says retail sales fell 0.4 per cent last month. That marked the second straight decline after a 0.1 per cent drop in December.

The drop suggests that the momentum from consumer spending at the end of 2013 has tailed off this winter.

Auto sales fell 2.1 per cent. Excluding volatile spending on autos, gas and building supplies, retail sales were flat compared with December.

Americans spent more at gas stations because of rising prices. Their purchases of building materials also increased, possibly a sign of preparation for snowstorms.

Over the past 12 months, retail sales have risen 2.6 per cent.

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