Retail sales fall
Key component of consumer spending, which makes up two-thirds of the economy, weak in September.
October 15, 2003: 8:47 AM EDT
NEW YORK (CNN/Money) - Retail sales fell in the United States last month, the government said Wednesday, missing analysts' expectations.
The Commerce Department said retail sales fell 0.2 percent to $320.6 billion after rising an upwardly revised 1.2 percent in August. Excluding volatile automobile sales, retail sales rose 0.3 percent after rising a revised 1.2 percent in August.
Economists, on average, expected sales to fall 0.1 percent and sales excluding autos to rise 0.4 percent, according to Briefing.com.
U.S. stock market futures rose after the report, pointing to a positive opening on Wall Street, while Treasury bond prices fell.
Wall Street pays close attention to consumer spending, which makes up more than two-thirds of total U.S. gross domestic product (GDP), the broadest measure of the economy.
Despite September's drop in sales -- which was not unexpected, given a downturn in auto sales -- upward revisions to sales data in July and August could push economists' forecasts for third-quarter GDP growth higher.
Sales of autos and auto parts fell 1.6 percent following a gain of 0.9 percent in August. Gasoline sales rose 0.3 percent, compared with a 3.5-percent jump in August.
Sales of building and garden equipment surged 1.9 percent, following August's 0.5-percent gain. Furniture sales fell 0.2 percent after rising 0.7 percent in August. Sales of electronics fell 0.3 percent after rising 1.4 percent in August.
Department-store sales were flat, following a 0.6-percent gain in August. Clothing sales rose 1.4 percent, following a 0.3-percent drop in August.
--*Disclaimer |
