• U.S. retail sales unexpectedly drop in April

Market news

15 May 2019

U.S. retail sales unexpectedly drop in April

The Commerce Department announced on Wednesday the sales at U.S. retailers fell 0.2 percent m-o-m in April, following a revised 1.7 percent m-o-m surge in March (originally a gain of 1.6 percent m-o-m), hurt by declines in sales of motor vehicles and a range of other goods.

Economists had expected total sales would increase by 0.2 percent m-o-m in April.

Excluding auto, retail sales edged up 0.1 percent m-o-m in April after a revised 1.3 percent m-o-m advance in the previous month (originally a gain of 1.2 percent m-o-m), missing economists’ forecast for a 0.7 percent m-o-m advance.

Meanwhile, closely watched core retail sales, which exclude automobiles, gasoline, building materials and food services, and are used in GDP calculations, was flat m-o-m in April after an upwardly revised 1.1 percent m-o-m gain in March (originally a 1.0 percent m-o-m increase). 

In y-o-y terms, the U.S. retail sales rose 3.1 percent in April, decelerating from a revised +3.8 percent in the previous month (originally +3.6 percent).

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