U.S Retail Sales Confirm Shaky Consumer Confidence

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By Trey Thoelcke Published
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Retails sales in the United States totaled $425.9 billion in September, according to new data from the U.S. Census Bureau. That was a seasonally adjusted 0.1% decrease from the previous month, the first decline in six months. When auto sales were excluded, though, retail sales were 0.4% higher month-over-month, the third largest increase of the year.

This was another economic release delayed by the government shutdown, and economists surveyed by Bloomberg had expected no month-over-month change in U.S. retail sales. Excluding auto sales, the consensus estimate called for a 0.4% increase.

These figures represent consumers’ anticipation of the dampening effect of the government shutdown, and they also correspond with consumer confidence figures released by the Conference Board. Consumer confidence fell to 79.7 in September from 81.8 in August.

September retail sales were also 3.2% higher than in September 2012. Total sales for the three months that ended in September 2013 were up 4.5% year-over-year.

Sales at electronics stores increased 0.7%, receiving little boost from the release of the latest models of the Apple Inc. (NASDAQ: AAPL) iPhone. Sales at bars and restaurants saw a 0.9% gain, as did sales at grocery and liquor stores.

According to the Census Bureau report, motor vehicle and parts sales declined 2.2%, and sales of apparel and accessories fell 0.5% from August. Gasoline-store sales were flat.

Retail sales are seen as the main engine of economic growth as they account for about a third of consumer spending. Large retailers and shippers do expect increased demand for the fast-approaching holiday season.

Photo of Trey Thoelcke
About the Author Trey Thoelcke →

Trey has been an editor and author at 24/7 Wall St. for more than a decade, where he has published thousands of articles analyzing corporate earnings, dividend stocks, short interest, insider buying, private equity, and market trends. His comprehensive coverage spans the full spectrum of financial markets, from blue-chip stalwarts to emerging growth companies.

Beyond 24/7 Wall St., Trey has created and edited financial content for Benzinga and AOL's BloggingStocks, contributing additional hundreds of articles to the investment community. He previously oversaw the 24/7 Climate Insights site, managing editorial operations and content strategy, and currently oversees and creates content for My Investing News.

Trey's editorial expertise extends across multiple publishing environments. He served as production editor at Dearborn Financial Publishing and development editor at Kaplan, where he helped shape financial education materials. Earlier in his career, he worked as a writer-producer at SVE. His freelance editing portfolio includes work for prestigious clients such as Sage Publications, Rand McNally, the Institute for Supply Management, the American Library Association, Eggplant Literary Productions, and Spiegel.

Outside of financial journalism, Trey writes fiction and has been an active member of the writing community for years, overseeing a long-running critique group and moderating workshop sessions at regional conventions. He lives with his family in an old house in the Midwest.

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