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Retail sales surged by 1.3% in October as consumers continue to spend despite inflation | CNN Business

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US retail sales rose 1.3% in October from the month before, the Census Bureau reported Wednesday

US retail sales rose 1.3% in October, the Census Bureau reported Wednesday. That’s the biggest monthly gain since February and better than the 1% economists had expected. Consumer spending was flat in September. Retail sales, which are not adjusted for inflation, were up 8.3% for the 12 months ended in October, slightly down from September’s 8.6%.

5 trillion, we expect we will soon see a notable pullback in consumer spending activity under the weight of inflation and elevated interest rates.” Still, the strength of consumer spending, while good for the economy, could present challenges for the Fed. “Even after adjusting for inflation, consumers are spending more,” Wells Fargo economists Tim Quinlan and Shannon Seery wrote in a note.

 

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