The U.S. Commerce Department says consumers boosted their spending last month, signaling continued growth in the nation’s economy.
American consumers boosted their spending last month, signaling continued growth in the nation’s economy, according to new data by the country’s Commerce Department.
It reported that retail sales rose 0.4 percent from September to October, a solid but slightly slower pace compared to the 0.8 percent increase in the previous month.
While the overall rise was more moderate, a 1.6 percent surge in sales at auto dealerships played a major role in the gain.
Other sectors also saw notable increases: electronics and appliance stores posted a 2.3 percent jump, while restaurants and bars experienced a 0.7 percent boost in sales.
Newsweek has emailed the Department of the Treasury for commentWhy has U.S. Consumer Spending Increased?
Though inflation contributed to some of the growth, the figures suggest a genuine increase in consumer demand.
Certain categories, however, showed signs of weakness.
Sales at furniture stores, clothing outlets, and drug stores were down, which economists partially attribute to the disruptions caused by last month’s hurricanes.
On the other hand, sales at home and garden stores rose, potentially reflecting recovery and rebuilding efforts in the wake of the storms.
