In July, US retail sales exceeded expectations, with a seasonally adjusted 0.7% increase for the month, surpassing the anticipated 0.4% rise. Excluding automobile sales, spending rose even more significantly at 1%. Online retailers experienced a substantial 1.9% surge in spending, while sporting goods and food service sectors increased by 1.5% and 1.4%, respectively. However, furniture and electronics sales declined by 1.8% and 1.3%. The report suggests that consumer spending remains resilient amid inflation concerns.
Import prices also rose, moving 0.4% higher in July, driven primarily by increased fuel costs. However, the Empire State Manufacturing Survey indicated a decline in manufacturing activity in the New York region in August, although future business conditions showed optimism, with expectations for growth in new orders, shipments, and employment.
Overall, consumer spending remains strong, defying concerns of recession and demonstrating the resilience of the US economy in the face of global challenges.
