Amid the ever-growing concerns about the financial health of the industry, the January sales at most of the popular US retail stores fell sharply, with the notable exception of the world's largest retailer Wal-Mart, which posted a 2.1 percent rise that exceeded the analysts' estimates.

The sales figures indicate that the weakened economy has traversed the range of retailing - the pangs of poor demand moved a step further, from department chains to teen chains! The stores reporting deeper-than-expected sales declines included Stage Stores, Wet Seal, and Children's Place Retail Stores. According to the International Council of Shopping Centers-Goldman Sachs, though January is not a very significant month in the sales calendars of the retailers; the figures more than establish a definite decline of consumer spending. With the retail industry having reported falling sales since October, analysts opine that the worrying trend will continue through 2009 first half.

Despite the fact that the shoppers, struggling with increasing job-cuts and dwindling retirement accounts, dug deep into the 'survival' mode, it was demand for grocery that helped Wal-Mart report a sales' rise. The company now intends giving four sales forecasts a year, on a 13-week basis, rather than monthly forecasts.

In a statement, Wal-Mart Chief Financial Officer, Tom Schoewe, said: "We believe this guidance is a more appropriate measure for our investors, particularly in volatile times when consumer swings are more difficult to predict."