U.S. retail sales experienced a modest uptick
September U.S. Retail Sales See a Slight Increase. The U.S. Commerce Department announced on Thursday in Washington that retail sales increased by 0.4% compared to the previous month.
Predictions from analysts surveyed by Reuters suggested a more modest 0.3% rise, following August's modest 0.1% uptick. The latest figures indicate that consumer prices and living expenses in the U.S. have not experienced such significant growth in a while, with a 2.4% inflation rate in September. This development brings the Federal Reserve (Fed) closer to its desired 2% inflation rate.
In an unusual move last September, the Fed lowered its key interest rate by 0.5 percentage points, setting the range at 4.75-5.00%. Fed Chairman Jerome Powell anticipates an additional two 0.5 percentage point cuts by year-end.
The Fed's monetary policy takes into account both inflation and the job market. Recent data indicates that initial jobless claims in the U.S. have been declining. Last week, 241,000 Americans filed for state unemployment benefits, as reported by the U.S. Labor Department on Thursday. Analysts surveyed by Reuters had projected 260,000, following the revised figure of 260,000 the previous week.
In the announcement made by the U.S. Commerce Department, retail sales were reported to have increased by 0.4% in September, which was slightly higher than the predicted 0.3%.In the wake of this slight increase, analysts are now speculating about potential changes in the Federal Reserve's monetary policy.
