Despite recent economic fluctuations, the National Retail Federation (NRF) remains optimistic about the upcoming holiday shopping season. NRF Chief Economist Jack Kleinhenz stated, “The economic data calendar was quite busy at the end October but while there were contradictions and mixed signals, we continue to believe the US economy remains in a good place.”

He emphasised that the recent job growth slowdown was likely influenced by temporary factors like hurricanes and labour strikes.

The NRF's forecast, released on 15th October, predicts a 2.5% to 3.5% increase in holiday sales compared to the previous year. This projection is backed by continued consumer spending and a relatively healthy economy.

While inflation has shown signs of easing, it remains a concern. However, with wage growth still outpacing inflation, consumers are expected to maintain their spending power.

The impact of the recent elections on the economy remains uncertain. Nevertheless, the NRF remains hopeful for a strong holiday season and a positive economic outlook for the remainder of the year.