US consumers are standing firm in the face of hot inflation and rising interest rates — even if they’re spending with a little less gusto and a lot more frustration.
Retail sales excluding a price-induced drop in gas station receipts and a drop in motor vehicle purchases rose a better-than-expected 0.7% in July, Commerce Department data showed Wednesday. Building-materials outlets, electronics and appliances stores and online merchants were among those with firm gains in receipts before adjusting for inflation…..
“The most important takeaway is that consumer spending on goods is continuing to increase, even as the bulk of their energies have shifted to services,” said Stephen Stanley, chief economist at Amherst Pierpont Securities.
With China’s economy slowing down, Europe likely heading into a recession amid skyrocketing energy prices, the resilience of the American consumer so far is all the more remarkable….
US consumers are standing firm in the face of hot inflation and rising interest rates — even if they’re spending with a little less gusto and a lot more frustration https://t.co/APS1iHi80I via @markets
— Robert Burgess (@BobOnMarkets) August 17, 2022