Container traffic from Asia, although still very strong, has leveled off somewhat from its seasonal peak of last a month. Export activity remains weak. Consumer Spending Retail sales, which softened in October, picked up a bit in early November. Furniture sales have been particularly strong since the last District report, and many stores report sales running above last year's strong season. Housewares are reported to be selling well, while unseasonably warm weather is blamed for recent weak apparel sales.
Retailers are optimistic about the holiday shopping season.
Most expect holiday sales to be at least as good as last year's strong performance. Retailers maintain that the labor market is tight, and many expressed difficulty in finding qualified workers for the holiday season. Despite continued strong showroom traffic, sales of new automobiles have slowed significantly from their robust summer pace, even after adjusting for the industry's seasonal pattern. These shortages are especially acute for GM dealers, where truck and sport utility vehicle inventories are still struggling to rebuild following this summer's strike. Banking and Finance District lending activity is mixed for both commercial and consumer loans.