Retail sales have shown a promising increase in October, rising 0.5 per cent in seasonally adjusted terms, according to the Australian Bureau of Statistics.

The rise was led by department store shopping, up 3.5 per cent seasonally adjusted, followed by household goods (1.1 per cent) and food retailing (0.6 per cent).

Takeaway foods fell 0.6 per cent, and footwear and personal accessory shopping decreased slightly, by 0.1 per cent.

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NSW and Tasmania showed the strongest increases (both up 0.8 per cent overall) followed by the ACT (0.6 per cent) and Victoria and Queensland (0.5 per cent).

In trend terms, which aims to smooth statistical volatility, the overall spending picture was positive – up 3.9 per cent year on year, or nearly double the rate of inflation.

While not strong, the data is a positive sign for retailers heading into a Christmas period threatened by stagnant wage growth and low consumer confidence.