US consumer spending spending rose more than expected in July, according to government data released Tuesday (15/8), driven by online shopping that has held up, even as the economy cools.
Retail sales in the world’s largest economy rose 0.7 percent to $696.4 billion last month, up from a 0.3 percent increase in June, the US Commerce Department said.
Spending is proving more robust in the US than initially expected, as households spend savings accumulated during the pandemic, supporting growth while business activity has slowed in recent months.
Analysts note that online retailer Amazon’s Prime Day offering – which takes place in July – is likely to have boosted consumer purchases online.
Official data released Tuesday showed the overall gain came from a 1.9 percent gain at non-store retailers, while sales at restaurants and bars rose 1.4 percent from June.
But sales at car dealerships fell 0.3 percent from June to July, while sales at gas stations rose 0.4 percent amid rising fuel prices at gas stations. (ps/hr)
