LA Times Reports Stores Experience 6% Increase in Sales in November, But...

It sounds like good news. The LA Times reports today that stores saw a six percent increase in sales in November. Analyst predicted retailers would see a 3.6% increase in year-over results. Of course they are celebrating. Celebrating I tell you.

"I plan to spend more because I did pretty well this year," Mario Calito, 32, an aerospace engineer, said as he shopped for a laptop computer and Blu-ray movies at a Best Buy in Burbank recently. "I'm very optimistic for 2011."

The 6% surge in spending was another sign of growing consumer confidence. And unlike the last two years, when frugal consumers shopped mainly for discounts, retailers reported that sales were strong throughout the month, with shoppers picking up more discretionary items, splurging on themselves and more willing to pay full price.

Put the brakes on. Screeeech!

Let's not forget here the dollar has been devalued. Could the six percent increase last month come from the fact that it takes more dollars to purchase things these days.