Sales in September 2022: | So Good News


Customers shop at GU Co. stores. in the SoHo area of ​​New York, US, Friday, Oct. 7, 2022.

Gabby Jones | Bloomberg | Getty Images

Consumer spending was limited in September as prices rose sharply and the Federal Reserve set interest rates higher to ease the economy, according to government data released Thursday.

Sales of retail goods and food were little changed in the month after rising 0.4% in August, according to preliminary estimates by the Commerce Department. This was below the Dow Jones estimate of a 0.3% gain. Excluding cars, sales rose 0.1%, against estimates unchanged.

Considering that the sales figures are not adjusted for inflation, the report shows that the real income in the various sectors covered by the report returned for the month.

The Bureau of Labor Statistics report on Thursday showed that consumer prices rose 0.4% including all goods and services, and 0.6% excluding food and energy.

Retailers fell 2.5% on the month, while gas stations fell 1.4% as energy prices fell.

Several other sectors also posted drops, including sporting goods, entertainment, book and music stores and furniture and home goods, which fell -0.7%, while electronics and appliances were off 0.8% and auto and parts dealers fell 0.4%.

General stores rose 0.7%. Gainers included online stores, bars and restaurants, clothing retailers and health and personal stores, all of which saw an increase of 0.5%.

Although earnings for the month were revised, retail sales rose 8.2% from a year ago, in line with rising consumer prices. Consumers are generally more affluent despite signs of late that they are saving for living expenses.

The Fed has set interest rates high in order to reduce inflation and stimulate the economy. Markets expect the central bank to raise rates to 1.5 percent by the end of the year.

A special report on Thursday showed that prices fell 1.2% in September, slightly more than the target of 1.1%. Exports fell by 0.8%.


Source link