United States: Retail sales growth declines in September at fastest pace since January
October 15, 2014
In September, growth in retail sales contracted 0.3% over the previous month, in nominal terms. The print contrasted the 0.6% expansion recorded in August and was even weaker than market expectations of a 0.1% decrease. Moreover, it marked the weakest result since January. The result was driven by lower sales in most categories, including clothing stores, building material and supplies dealers, furniture retailers, and motor vehicle and parts dealers. In contrast, sales at electronics and appliance stores registered a notable increase.
Retail sales excluding cars and gas—a closely watched subcategory of the retail trade index—decreased 0.1% in September over the previous month. The reading contrasted both the 0.5% expansion recorded in August and market expectations of another 0.5% increase.
Retail sales rose 4.3% compared to the same month last year and came in below the 5.0% increase recorded in August. However, the annual trend increases, with annual average growth in retail sales ticking up from 3.7% in August to 3.8% in September.
Author: Carl Kelly, Economist