{"id":915,"date":"2021-09-16T14:00:20","date_gmt":"2021-09-16T14:00:20","guid":{"rendered":"https:\/\/ancstockinvestments.com\/blog\/?p=915"},"modified":"2021-09-16T14:00:22","modified_gmt":"2021-09-16T14:00:22","slug":"breaking-us-retail-sales-unexpectedly-climb-august","status":"publish","type":"post","link":"https:\/\/ancstockinvestments.com\/blog\/2021\/09\/16\/breaking-us-retail-sales-unexpectedly-climb-august\/","title":{"rendered":"Breaking: U.S. Retail Sales Unexpectedly Climb 0.7% in August"},"content":{"rendered":"\n<p>Retail sales in the U.S. rose 0.7% on a monthly basis to $618.7 billion in August, the Commerce Department said on Thursday. The rebound comes after retail sales plunged by a revised 1.8% in July and after U.S. <a href=\"https:\/\/ancstockinvestments.com\/blog\/2021\/09\/14\/consumer-prices-united-states-increase-less-than-forecas\/\" target=\"_blank\" rel=\"noreferrer noopener\" aria-label=\"consumer prices rose (opens in a new tab)\">consumer prices rose<\/a> at a more moderate pace in August.<\/p>\n\n\n\n<p>Economists had forecast retail sales to decrease by another 0.8% compared to the 1.1% slump previously reported.&nbsp;<\/p>\n\n\n\n<p>With the initial market reaction, the greenback gathered strength against its rivals, and the US Dollar Index was last seen trading at a fresh daily high of 92.82, rising 0.4% daily.&nbsp;<\/p>\n\n\n\n<p>The sale of retail products in the U.S. was likely boosted by back-to-school shopping and child tax credit payments from the government.\u00a0<\/p>\n\n\n\n<h5 class=\"wp-block-heading\">Join our\u00a0<a rel=\"noreferrer noopener\" href=\"https:\/\/www.community.ancstockinvestments.com\/\" target=\"_blank\">Trading Community<\/a>\u00a0for more signals!<\/h5>\n\n\n\n<p>The rebound comes despite a continued shortage of microchips, which forced automakers to cut production, leading to scarcity. The semiconductor crunch, worsened by the latest waves of COVID-19 infections, is also causing mass shortages in electronic products. Congestion at Chinese ports is also making matters worse.<\/p>\n\n\n\n<p>Excluding sales by automobiles, food services, building materials, and gasoline, retail sales rebounded 2.5% last month after a revised 1.9% decline in July.<\/p>\n\n\n\n<p>Core retail sales correspond most closely with the consumer spending component of gross domestic product (GDP). The so-called core retail sales were estimated to fall 1.0% in July.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>Growth cuts<\/strong><\/h2>\n\n\n\n<p>Poised by tanking vehicle sales, economists are slashing their GDP growth estimates for the third quarter of 2021. Economists at JPMorgan on Wednesday trimmed their GDP growth forecast from 7.0% to 5.0%. Early this month, Goldman Sachs cut its estimates from a 5.25% pace to 3.5%.<\/p>\n\n\n\n<p>The slowing momentum was supported by the Fed\u2019s \u201cBeige Book\u201d report that showed economic growth was plummeting. The economy grew at 6.6% in the second quarter of this year.<\/p>\n\n\n\n<p>Economists, however, expect domestic demand to grow next quarter if the Delta variant fades.<\/p>\n\n\n\n<h5 class=\"wp-block-heading\">Join our\u00a0<a rel=\"noreferrer noopener\" href=\"https:\/\/www.community.ancstockinvestments.com\/\" target=\"_blank\">Trading Community<\/a>\u00a0for more signals!<\/h5>\n","protected":false},"excerpt":{"rendered":"<p>Retail sales in the U.S. rose 0.7% on a monthly basis to $618.7 billion in August. 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