The Index, comprising four components - tax burden, initial unemployment claims, real wages and real home prices - was unchanged at 0.10 percent.
"In this environment, it's important for retailers to keep a close eye on inventories, work closely with vendors and look for opportunities to better merchandise products that aren't moving in order to minimize promotions," said Stacy Janiak, vice chairman and U.S. Retail leader, Deloitte LLP. "The battle for the consumer wallet is extremely difficult this year and there will be winners and losers come January. Retailers should closely monitor those competitors that appear to be losing the battle and develop a game plan to manage through the short-term challenges and long-term opportunities as competitors stumble."
Highlights of the Index include:
* Tax Burden: The tax burden continues to fall slightly with the weakening of the economy.
* Initial Unemployment Claims: Claims were largely unchanged from last month but are up 45 percent from a year ago.
* Real Wages: Real wage growth rebounded in the most recent month on falling energy prices but are still down slightly from a year ago.
* Real Home Prices: House prices fell by 11 percent from a year ago. Home mortgage refinancing has all but disappeared, reducing household cash flow. Inventories of unsold homes, while down slightly, are still too high. A contraction in mortgage credit is limiting home buying. Government purchases of securitized mortgage debt and other efforts to stimulate mortgage lending could begin to help housing early next year. Until home prices stabilize, housing will remain a major drag on consumer spending.