Current:Home > reviewsRetail sales rise solid 0.7% in September, reflecting US shoppers’ resilience despite higher prices -Trailblazer Capital Learning
Retail sales rise solid 0.7% in September, reflecting US shoppers’ resilience despite higher prices
View
Date:2025-04-25 08:21:45
NEW YORK (AP) — 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.
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 began to ease.
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.
September’s uptick in retail sales, the sixth consecutive monthly gain, reflects how the U.S. economy has remained resilient despite attempts by the Federal Reserve to cool spending and hiring. Spending has been volatile after surging nearly 3% in January. Sales tumbled in February and March before recovering in the spring and summer.
Spending at restaurants were up 0.9%, while spending online rose 1.1% last month, according to the report. Sales at general merchandise stores rose 0.4%. Business at grocery stores was up 0.4%. Sales at home furnishings and furniture stores were flat, while electronics store saw a 0.8% decline reflecting a difficult housing market.
The retail sales report came as businesses across the U.S. economy ramped up hiring in September, defying surging interest rates, and the ongoing threat of a government shutdown. The strength of hiring has surprised economists inside and outside of the Fed.
Consumer prices rose 0.4% from August to September, below the previous month’s 0.6% pace. The report from the Labor Department also showed that year-over-year inflation was flat last month from a 3.7% rise in August.
The retail data doesn’t capture the impact from the resumption of student loan payments, which started Oct. 1 and could have an impact on the critical holiday shopping season. It also doesn’t cover the Oct. 7 surprise attack on Israel by Hamas. Analysts say that shoppers could become rattled if the Israel-Hamas war is not contained.
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.
——————
Follow Anne D’Innocenzio: http://twitter.com/ADInnocenzio
veryGood! (8994)
Related
- Average rate on 30
- Were you offered remote work for $1,200 a day? It's probably a scam.
- Judge upholds North Carolina’s anti-rioting law, dismisses civil liberties suit
- Manta Ray submarine drone seemingly spotted on Google Maps at California naval base
- Biden administration makes final diplomatic push for stability across a turbulent Mideast
- What Is It Really Like Partying With Taylor Swift and Travis Kelce? Jimmy Kimmel Explains
- Newly released video shows 3 hostages, including Israeli-American, being taken captive on Oct. 7
- Nicole Kidman and Daughter Sunday's Twinning Moment at Paris Fashion Week Is Practically Magic
- Off the Grid: Sally breaks down USA TODAY's daily crossword puzzle, Triathlon
- Can the 2024 Kia EV9 electric SUV replace a gas-powered family hauler?
Ranking
- FACT FOCUS: Inspector general’s Jan. 6 report misrepresented as proof of FBI setup
- Ohio jail mistakenly frees suspect in killing because of a typo
- Woman 'intentionally' ran over boyfriend, baby after dispute, Florida police say
- Drinking water of almost a million Californians failed to meet state requirements
- NHL in ASL returns, delivering American Sign Language analysis for Deaf community at Winter Classic
- Kansas City Chiefs join forces with Hallmark for Christmas rom-com 'Holiday Touchdown'
- Pedestrian traffic deaths decline for first time since pandemic after 40-year high in 2022
- Prospect of low-priced Chinese EVs reaching US from Mexico poses threat to automakers
Recommendation
Meet the volunteers risking their lives to deliver Christmas gifts to children in Haiti
Michael Phelps slams Olympic anti-doping efforts during testimony
Israel's Supreme Court rules that military must start drafting ultra-Orthodox men after years of exemption
What you need to know for NBC's 2024 Paris Olympics coverage
'Most Whopper
IRS is creating unconscionable delays for a major issue, watchdog says. Here's what to know.
What if every worker in America were auto-enrolled in retirement savings?
Horoscopes Today, June 26, 2024