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US retail sales unexpectedly rose in August, supported by online purchases that masked more mixed results at other merchants.
The value of retail purchases, unadjusted for inflation, increased 0.1 percent after a revised 1.1 percent gain in July, 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 percent in August. The measure excludes food services, auto dealers, building materials stores and gasoline stations.
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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.
By Augusta Saraiva
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US Retail Sales Rise More Than Expected in July
US retail sales rose 1.0 percent in July, surpassing forecasts and alleviating fears of a sharp economic slowdown amid a higher unemployment rate, which may impact expectations for a substantial interest rate cut.
