US retail sales rise 0.2% in August, missing 0.3% forecast
US retail sales rose less than expected, data showed on Tuesday, as the Federal Reserve looks for signs of economic improvement ahead of its interest rate decision this week.
The Commerce Department said sales increased 0.2% in August, compared to analysts' expectations for a 0.3% rise and the previous month's 0.6% gain. Sales, excluding autos, rose 0.1% last month, missing forecast for a 0.2% increase and worse than July's 0.6%.
“With only two days to go until one of the most anticipated Fed decisions in years, the US markets were looking for some buoyant data and will be disappointed that the retail sales figures haven’t delivered," said Dennis de Jong, managing director at UFX.com.
“That said, even slight improvement is still a positive, especially considering weak inflation recently. With all data points this week sure to affect the Fed’s interest rate conversations, the key question for Yellen and Co. is whether the US economy is robust enough to weather a rate rise.”