NEW YORK (CNN/Money) - Consumers did a little shopping last month, stocking up on winter clothing amid a cold snap as retailers surprised Wall Street with stronger-than-expected October sales Thursday that sparked fragile hopes for a solid holiday season.

October sales at stores open at least a year, a key gauge known as same-store sales, rose 3.1 percent, compared with industry forecasts of 1.5 to 2 percent growth, according to Bank of Tokyo-Mitsubishi's chief economist Michael Niemira.

"This is really the surprise of the year. We should have really anticipated it because suddenly the weather turned very cold," said Kurt Barnard, president of Barnard's Retail Consulting Group.

Specialty chains, particularly clothing retailers such as Gap Inc., turned in strong results for the month as did most discount chains. Though department stores like Macy's parent Federated and J.C. Penney had a good month, the sector generally continued to underperform the discount and specialty segments.

Though analysts attributed some of the increase to lowered expectations and heavy promotions, they said the cold weather buying binge proved that consumers, whose spending accounts for two-thirds of the economy, are willing to spend if the incentive, cold weather in this case, is there.

"Can you raise the question of whether the retail industry is finally on the mend? Given the picture that's developing here, tentatively at least you can say, yeah," Niemira said. "Certainly we can make more upbeat comments on the holiday season."

Still, not all was wine and clothing. Wal-Mart Stores Inc. said Thursday it experienced slower sales growth in October than in the year-earlier period.

And Costco, the warehouse outlet, posted a 2 percent same-outlet sales gain but warned about fiscal third-quarter earnings.

• Big Lots Costco Dillard's Federated Gap J.C. Penney
• Limited Brands Sears Michaels Stores Pier 1 Imports
• Talbots Target Wal-Mart Stores Zale

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NEW YORK (CNN/Money) -- The world's largest retailer reported Thursday that sales at stores open at least a year, a closely watched measure known as same-store sales, gained 3.7 percent across the company in the four-weeks ended Nov. 1. That was down from a 6.7 percent gain in same-store sales a year earlier.

Overall sales increased 11.3 percent to $18.5 billion. (Click here for more)

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MINNEAPOLIS (Reuters) -- Target Corp. reported Thursday that its October sales rose 1.5 percent at stores open at least a year, reversing two straight monthly declines.

Target, (TGT: Research, Estimates) which also operates Marshall Field's and Mervyn's department stores, said total sales in the four-week period ended Nov. 2 rose 9.8 percent to $3.15 billion from $2.87 billion a year earlier.

Same-store sales at its Target stores rose 2.1 percent, while Marshall Field's comparable sales increased 5.0 percent and Mervyn's dropped 5.7 percent.

Target had said it expected same-store sales at its discount stores to be flat to up 2 percent for October.

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ISSAQUAH, Wash. (Reuters) -- The wholesale retailer said October sales at its warehouse stores open at least one year rose 2 percent and it cut its earnings forecast for its first fiscal quarter. The retailer said total sales for the four-week period ended November 3 reached $3.01 billion, up 6 percent from the $2.83 billion reported in the same period last year.

Costco added that its total and comparable sales results for the period were negatively affected by about 1 percent due to the tobacco price increases in the U.S. and Canada that occurred during the same period last year.

The retailer also cut its forecast for earnings in its first fiscal quarter to a range of 30 to 32 cents, citing the recent slowing in comparable sales results. Costco's (COST: Research, Estimates) prior forecast was for earnings in the quarter ending Nov. 24 of 32 cents to 33 cents per share.

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PLANO, Texas (Reuters) -- J.C. Penney Co. Inc. reported a 13.7 percent jump in October sales Thursday at stores open at least one year as cold weather and aggressive discounts drew shoppers, and raised its quarterly earnings forecast for the second time in 10 days.

The company, which operates its namesake department stores and the Eckerd drug store chain, said total sales for the four-week period ended Oct. 26 rose to $2.53 billion from $2.41 billion in the same period a year ago.

The retailer said it expected to report earnings above current analyst estimates for the third quarter, which ended in October, citing better-than-expected department store sales and strong operating profits at Eckerd.

Analysts on average were expecting J.C. Penney to earn 23 cents per share, according to research firm First Call, having raised their forecasts last week after J.C. Penney said it expected quarterly earnings of at least 21 cents per share.

In a recorded sales update, J.C. Penney said it expected November same-store sales to be flat to slightly positive because a late Thanksgiving holiday meant it would not see those sales results until its December period.

Thanksgiving falls on Nov. 28 this year, six days later than last year.

The retailer has been outperforming its department store peers, helped by aggressive price discounts that resonated with shoppers in a sluggish economy, and an ongoing restructuring that has improved merchandise selection.

Comparable drug store sales were up 3.9 percent, below expectations, hurt by lower-priced generic drugs that reduced pharmacy sales. The best categories for the month included household products, beverages, snacks and cosmetics.

Catalog sales fell 21.8 percent, in line with projections, but Internet sales continued to see strong growth.

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CINCINNATI (Reuters) -- Federated Department Stores Inc. said Thursday that sales last month at stores open at least one year rose 0.3 percent and raised its profit outlook as an October cold snap heated up sales of fall clothing

Federated (FDS: Research, Estimates), which operates the Macy's and Bloomingdale's chains, said total sales for the four-week period ended Nov. 2 rose 2.4 percent to $1.08 billion.

Federated said same-store sales fell 2 percent in the third quarter.

The company had said last month it expected October same-store sales to be down 1 to 2 percent, and third-quarter comparable sales down 2 to 2.5 percent.

Federated raised its outlook for third-quarter earnings to 36 to 38 cents a share from its previous forecast of 30 to 35 cents. It said it expected fourth-quarter earnings of $1.95 to $2.05 a share, consistent with previous guidance, with same-store sales flat to down 2 percent.

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HOFFMAN ESTATES, Ill. (Reuters) -- Sears, Roebuck and Co .said October sales at stores open at least one year fell 10 percent, the 14th straight monthly decline, as a tough economy crimped demand for big-ticket items like appliances and electronics.

The No. 4 U.S. retailer said total sales for the four-week period ended Nov. 2 reached $2.0 billion, down 7.5 percent from the same period a year ago.

Sears (S: Research, Estimates) has been redesigning stores and adding merchandise from recently acquired Lands' End to its shelves in hopes of bolstering sales. The retailer said it was pleased with October's apparel sales, which showed substantial improvement from recent trends.

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SAN FRANCISCO (Reuters) -- Gap Inc. said Thursday that October sales at stores open at least a year rose 11 percent, finally halting a 29-month slide in the retailer's same-store sales. The retailer raised its third-quarter earnings forecast.

The San Francisco-based company -- which operates Gap, Banana Republic and Old Navy stores -- said total sales for the four weeks ended Nov. 2 were $1.2 billion, up from $1.0 billion in the same period of the prior year. For the quarter, sales were $3.6 billion, up 9 percent from $3.3 billion a year earlier.

The higher same-store sales followed a 17 percent decline in October of last year. Gap (GPS: Research, Estimates) struggled to improve its same-store sales after it scared off customers with an ill-received foray into youthful, trendy clothes about two and a half years ago.

Gap said it expects third-quarter earnings per share between 12 and 14 cents, due to significant margin improvement in October. This exceeds the Thomson First Call consensus estimate of 6 cents per share.

The retailer said efforts to clear the inventory backlog caused by the West Coast port closure have progressed more quickly than expected, but it still anticipates up to four-week delays in some holiday deliveries to stores.

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LITTLE ROCK, Ark. (Reuters) -- Dillard's Inc. (DDS: Research, Estimates) posted a 2 percent drop in October sales Thursday at stores open at least one year as a sluggish U.S. economy continued to drive shoppers away from malls.

The department store operator said total sales for the four weeks ended on Nov. 2 fell 3 percent to $509.3 million from $524.4 million a year earlier.

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COLUMBUS, Ohio (Reuters) -- Apparel and toiletries retailer Limited Brands Inc. (LTD: Research, Estimates) reported that October sales at stores open at least a year, or same-store sales, rose 3 percent from a year earlier.

The retailer, which operates several store chains under names including Victoria's Secret, Express and Bath & Body Works, said total sales in the four weeks ended Nov. 2 rose 4 percent, to $615.2 million from $591.7 million a year ago.

All the company's chains had same-store sales increases except for Bath & Body Works, which had a decline, and Lerner New York, which was flat.

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FORT WORTH, Texas (Reuters) -- Pier 1 Imports Inc., the home goods retailer, said Thursday that sales at its stores open at least a year rose 6.3 percent in October, driven by sales of full-priced and promotional merchandise.

Pier 1 (PIR: Research, Estimates), which runs about 900 stores in the United States and Canada, reported that total sales in the four weeks ended Nov. 2 climbed 14.6 percent, to $130.7 million from $114.1 million a year earlier.

The company forecast third-quarter earnings in a range of 30 to 31 cents a share, compared with the First Call consensus estimate of 31 cents a share. Last month, it forecast earnings would range from 29 to 31 cents per share in the quarter.

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DALLAS (Reuters) -- Zale Corp. reported Thursday a 0.6 percent dip in quarterly sales at stores open at least one year, matching a weak forecast it gave last month, as a sluggish economy restrained consumer spending.

The largest U.S. jewelry retailer said total sales for the fiscal first quarter, ended Oct. 31, reached $412 million, up slightly from $410 million in the same period last year.

Zale (ZLC: Research, Estimates) warned Oct. 21 that it will report a larger-than-expected first-quarter loss because of slow mall traffic, and estimated same-store sales would be flat to down 1 percent for the quarter. The company said it would release first-quarter earnings on Nov. 14.

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COLUMBUS, Ohio (Reuters) -- Close-out retailer Big Lots Inc. (BLI: Research, Estimates) said Thursday sales at stores open at least two years rose 3.8 percent, restrained by a slow sales pace at the start of the month.

Total sales for the four-week period ended Nov. 2 reached $349.7 million, up 8.6 percent from the $321.9 million reported in the same period a year earlier.

Based on sales results for October, the company said it remains comfortable with research firm First Call's consensus estimate of a third-quarter loss of 5 cents per share compared with a loss of 14 cents per share the year before.

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HINGHAM, Mass. (Reuters) -- Apparel retailer Talbots Inc. said Thursday October sales at stores open at least a year rose a better-than-expected 1.7 percent, and the company raised its third-quarter earnings forecast.

The same-store sales rise was well above the company's forecast for a mid-single-digit decline. Talbots said the improvement was driven by a significant increase in full-price selling, particularly in sweaters.

Talbots (TLB: Research, Estimates) said total sales for the four weeks ended Nov. 2 were $135.2 million, up 4 percent from $130.3 million a year earlier. For the quarter, sales increased 2 percent to $401.8 million from $393.9 million a year earlier. The company increased its outlook for third-quarter earnings to a range of 61 to 63 cents per share from a previous forecast of 59 to 61 cents. It maintained its fourth-quarter earnings estimate of 48 to 53 cents per share.

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IRVING, Texas (Reuters) -- The No. 1 U.S. arts and crafts retailer said Thursday sales at its stores open at least a year rose 2 percent in October, and lowered its earnings guidance, citing weak consumer confidence.

The company said it now expects same-store sales to rise only 1 percent in the fourth quarter instead of the 2 to 3 percent it previously expected. It also said that full-year earnings would be $2.05 a share, 5 cents lower than its previous forecast.

Analysts forecast earnings of $2.10 to $2.28 a share for the year, with an average of $2.15, according to market research firm First Call. Michaels (MIK: Research, Estimates), whose business had benefited from more home-bound activity after last year's Sept. 11 attacks, said total sales rose 6 percent to $234.5 million in October.