FX.co ★ U.S. Retail Sales Climb 0.4% In September, Slightly More Than Expected

A report from the Commerce Department released on Thursday reveals that retail sales in the United States witnessed a marginally higher increase than anticipated for September.

According to the report, retail sales climbed by 0.4 percent in September, following a modest rise of 0.1 percent in August, surpassing economists' projections of a 0.3 percent rise.

"Robust retail expenditure last month indicates that the economic recovery sustained its momentum through the conclusion of the third quarter," noted Mark Streiber, Economic Analyst at FHN Financial.

Streiber further commented, "Despite any disruptions forthcoming from hurricanes or strikes in future data, today's figures suggest no deceleration in consumer spending."

The slightly better-than-expected growth in retail sales was partly attributed to a significant increase in sales by miscellaneous store retailers, which surged by 4.0 percent.

There was also considerable growth in sales within clothing and accessories stores, health and personal care stores, grocery outlets, as well as food services and drinking venues.

Conversely, sales in electronics and appliance stores dropped sharply by 3.3 percent, with furniture, home furnishings retailers, and gas stations experiencing declines.

The report also highlighted that sales from motor vehicle and parts dealers remained unchanged in September, following a 0.4 percent decline in August.

Excluding automobile sales, retail sales rose by 0.5 percent in September, after a 0.2 percent increase in August. Expectations had been for a modest 0.1 percent rise.

Additionally, the Commerce Department reported that core retail sales—excluding sectors such as automobiles, gasoline, building materials, and food services—rose by 0.7 percent in September, following a 0.3 percent increase in August.