US Retail Weakness and Global Mixed Data Signal Uneven Growth Momentum

Recent macroeconomic data across major economies are sending conflicting signals, reflecting a landscape of uneven activity and mixed momentum.

In the United States, retail sales unexpectedly stagnated in December 2025, coming in flat compared with November and missing consensus forecasts for growth. Core retail sales — a key gauge tied to GDP — even dipped, suggesting slowing consumer spending amid rising costs and softening wage gains. Meanwhile, job creation figures showed deceleration even as the unemployment rate edged lower, illustrating mixed labor market dynamics that complicate the Federal Reserve’s policy outlook.

Globally, economic indicators also paint a varied picture. China’s December data showed stronger industrial output but weaker retail sales and investment, underscoring uneven demand conditions. In Europe, everyday economic signals were mixed across markets, and analysts continue to debate whether broader momentum is slowing or stabilizing.

Economists note that while certain high-frequency metrics point to resilience in segments like freight activity and services, the broad tapestry of indicators reflects uneven growth pressures, shifting consumer behavior and policy uncertainties.

Market Implication: Mixed economic results may sustain investor caution, influencing policy expectations, risk sentiment and asset allocation strategies across equity, bond and currency markets.