REPORTS of the death of the Australian shopper have been exaggerated.   (Category: Financial News) ... there are enough tentative signs of encouragement - a rising sharemarket, a boost to sales - to suggest the ferocity of the contraction(economic) may yet be contained. Retail sales figures jumped 2.2 per cent in March, the ABS said yesterday. The increase was four times that expected by economists, and was the latest in a series of indicators suggesting lower interest rates and government hand-outs have started to bite. The March retail figures captured early cash payments from the Government's $42 billion stimulus package, and economists and retailers expect the positive numbers to continue through April and May. Department stores were the big winners, increasing sales more than 13 per cent, after falling by more than 9 per cent in February. "The customers less affected by the economic downturn are the customers with no mortgages and no share portfolio just earning a living," Mr McInnes (CEO of David Jones) said. But Rojda Guzel, a 19-year-old student who was looking for shoes at David Jones's Elizabeth Street store yesterday, was being cautious. She said that while she loves shopping, she was worried about job security and was spending less on luxury goods. She was debating whether to buy a pair of purple Jimmy Choo stilettos, reduced from $1350 to $675. "In normal times I'd definitely be purchasing these shoes, but now I have to think twice," she said. Clothing and soft goods retailers recorded a 6 per cent increase, ... Sales of household goods were up just over 1 per cent, as was turnover at cafes and restaurants. Jobs figures to be released today are, however, likely to cap any premature declarations that the worst of the downturn has passed. "These numbers demonstrate the Government's efforts to support jobs in our economy are working, and Mr Turnbull is plain wrong to oppose them," the Treasurer, Wayne Swan, said. SMH May 7, 2009 edited Back   Print this article