For a change, everything seems hunky dory

Scott Reiss, a 25-year-old computer worker, says he's tightened his belt enough. This Halloween he's springing for a $120 medieval innkeeper costume instead of keeping his usual $20 budget.

"I'm in the mood for it," he says after picking out an outfit with a long vest and tan knee-length boot tops in a New York shopping mall. "I've just cut back already and I don't think I could cut back anymore."

While US retailers brace for the worst holiday season since at least 2002, Halloween sales are climbing as partygoers seek to escape the gloom of the spiraling financial crisis, says Kathy Grannis, a spokeswoman for the National Retail Federation (NRF). Spending will be the highest this year since the Washington-based trade organization started its Halloween survey in 2003.