Retail sales rise solid 0.7% in September, reflecting US shoppers' resilience despite higher prices
Americans showed their steadfast resilience and kept spending in September even as they grappled with higher prices, interest rates and a host of other headwinds piling up
NEW YORK — Americans showed their steadfast resilience and kept spending online, at restaurants and other outlets in September even as they grappled with higher prices, rising interest rates and a host of other headwinds piling up.
Retail sales rose 0.7% in September, more than twice what economists had expected, and close to a revised 0.8% bump in August, the Commerce Department reported Tuesday. Retail sales in August were inflated after gasoline prices spiked, however. That was not the case in September when gas prices rose more slowly.
A closely watched category of retail sales that excludes auto dealers, gas stations and building materials and feeds into the gross domestic product jumped 0.6% last month compared to the prior month.
Tuesday's sales figures aren't adjusted for inflation, but the cost of goods barely rose last month, so the increased spending isn't a reflection of higher prices. Prices for durable goods, such as those sold by appliance and electronics stores, actually fell last month.
The government’s monthly retail sales report offers only a partial look at consumer spending; it doesn’t include many services, including health care, travel and hotel lodging. But it does cover spending at restaurants, which had a solid 0.9% increase. Spending online rose 1.1% last month, according to the report. Sales at general merchandise stores rose 0.4%.
Sales at home furnishings and furniture stores were flat, while electronics stores and outlets that sell building materials saw declines reflecting a difficult housing market.
The retail sales
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