Holiday Sales Surge Spills Over Into January

America’s shopping spree didn’t end with the holidays: The nation’s largest retailers reported surprisingly strong January sales, providing more evidence of an increasingly robust economy.

“In most cases, the sales were at or better than (the retailers’) plan, which indicates that the consumer continues to spend quite freely,” said Daniel Barry, a retail industry analyst with Merrill Lynch & Co.

Consumers defied forecasts that they would retreat in January after spending enthusiastically at Christmas for the first time in four years.

“That’s getting a lot less likely based on these numbers,” Barry said, “but it still could happen.”

January’s results, reported Thursday, marked the end of fiscal 1992 for most retailers. It was generally a good year for the industry, which regained its vigor after the recession. The nation’s largest retailer, Wal-Mart Stores Inc., rang up an industry record $55.5 billion in sales.

January is historically a slow month for retailers, who use the time to clear out winter merchandise and prepare for spring.

But this January was marked by several good omens for retailers.

“They’re selling quite a bit of spring goods now at full price,” said Thomas Tashjian, an analyst with First Manhattan Co.

He also found “a glimmer of a better performance in California,” where the economy remains in recession.

“The continuing strong sales trend of recent months is encouraging, particularly in major appliances, home electronics and furniture,” said Arthur Martinez, chairman of Sears, Roebuck & Co.’s merchandise group.