Retail Federation Expects Solid Sales Growth

New York, NY, Jan. 16, 2012 -- The National Retail Federation says it expects a solid 3.4% increase in sales this year, below last year's 4.7% increase.

The nation's largest retail trade group expects said sales should reach $2.53 trillion in 2012, up from last year's $2.45 trillion, boosted in part by higher prices across all goods.

The 3.4% increase would still outpace the 10-year annual average increase of almost 3.1% and would also mark a third consecutive year of recovery for consumer spending.

Sales slumped 3.5% in 2009.

"The forecast is a reflection of the economic conditions. Things have gotten modestly better, but we still have a long way to go," said Matthew Shay, president and CEO of the retail group, based in Washington, D.C.