Despite unfavorable macroeconomic pressures, shoppers surveyed by Citigroup say that they will spend 2% to 4% more this holiday season than they did a year ago.

However, those surveyed have also indicated a greater preference for discounts, which should lead to tighter profit margins for retailers.

On the other, high-priced items like tablet computers and iPhones are at the top of many shopping lists.

Overall, things are not looking so dour this year for the nation's retailers. Mall traffic is stabilizing as stores begin to release their winter and holiday assortments.