Results of the advanced retail sales report for August:
- Prior reading was +0.2% (revised to +0.4%)
- Sales excluding autos +0.1% vs +0.3% exp
- Sales excluding autos and gas +0.1% vs +0.3% exp
- Sales excluding autos, gas and building supplies +0.2% vs +0.3% exp
The prior readings were revised higher by a couple ticks across the board so that brings the results closer to expectations. The dollar is reacting badly but some of that is carry through from the Summers denial.
Retail sales excluding autos, gas and building supplies (control group)
One negative takeaway is the overall pace of consumer spending this year. Housing has picked up, employment is a bit better but consumers are stuck in the mud. Spending fueled a decade of US growth and if it doesn’t come back, it really is a new normal.
