US Retail Sales Unexpectedly Increase After Upward Revision
The value of retail purchases, unadjusted for inflation, increased 0.1% in August after an upwardly revised 1.1% gain, Commerce Department data showed Tuesday.
(Bloomberg) -- US retail sales unexpectedly rose in August, pointing to healthy consumer demand that continues to underpin the economy.
The value of retail purchases, unadjusted for inflation, increased 0.1% in August after an upwardly revised 1.1% gain, Commerce Department data showed Tuesday. Excluding autos and gasoline stations, sales advanced for fourth month.
Five of the report’s 13 categories posted increases, while others such as electronics and appliances, clothing and furniture fell. Receipts at gasoline service stations decreased, reflecting cheaper prices at the pump.
The retail sales report showed so-called control-group sales — which are used to calculate gross domestic product — rose 0.3% in August. The measure excludes food services, auto dealers, building materials stores and gasoline stations.
The figures indicate resilient household demand midway through the third quarter even as hiring and wage growth show signs of moderating. For Federal Reserve policymakers, the data also illustrate an economy on solid footing as they debate how much to lower interest rates on Wednesday.
In addition to cooler job growth, economists forecast the combination of elevated borrowing costs, the depletion of pandemic savings and a higher cost of living will eventually prompt American consumers to cut back.
