Retail sales down in December

U.S. retail sales fell more than economists expected in December, the U.S. Census Bureau reported Wednesday.

Sales for food services and retail dropped as U.S. consumers have pulled back from spending while job losses continue to plague the economy.

Analysts had expected a decrease of up to 2.1 percent, but customers spent $343.2 billion during the month, a drop of 2.7 percent on the month and a decline of 9.8 percent compared with December 2007, the government said.

Sales fell October through December, dropping 7.7 percent compared to the same period a year ago.

Sales at gasoline stations fell 35.5 percent in December compared with December 2007. The automotive industry is off 22.4 percent year-to-year, the government said.

Retail food sales dropped 0.1 percent from a year ago, while furniture sales are off 8 percent. Electronic sales increased 0.1 percent and healthcare store sales increased 4 percent from a year ago.