Discounts and sales events have remained a significant sales driver, as consumers emerge from a more than two-year stretch of high inflation. It’s unclear how much those deals will cut into Target’s and other retailers’ profit margins, and whether sales will keep improving if promotions fade away.

Sales for the 2024 holiday shopping season turned out to be robust and better than expected, as easing inflation on merchandise drove shoppers to buy, according to the nation’s largest retail trade group.

Retail sales gained 0.4% in December from November, slightly below projections for a 0.5% increase, according to FactSet.

American Express said on Thursday it will pay about $230 million to settle U.S. criminal and civil probes into alleged deceptive practices in selling credit card and wire transfer products to small business customers.