(photo by Betty Tsang)

As the week edges closer to Christmas and the end of the year, New Yorkers are rushing around with packages, dodging large puddles of melted snow and, in Union Square, the holiday market looks busy as usual. But some vendors and artists say that doesn't mean business is booming. Tom Barlow is a painter and says the larger items are not as popular with shoppers. 'This has been a very difficult season. Last year was slow, this year is even slower. People are buying small items. You can have good days and bad days, but the smaller items are what's selling.'

Last-minute shoppers are finding many items they're looking for are sold out. This year, stores cut inventories, choosing to risk running out of items instead of slashing prices. The strategy is expected to boost fourth-quarter profits but may limit sales before and after Christmas.

Where are you finding holiday bargains? Any suggestions on last minute gifts? Let us know.