U.S. Retail Sales See Unexpected Drop
October 17, 2019
The American economy has become increasingly reliant on U.S. consumers. Even as business investment and manufacturing slow, strong consumer spending, which accounts for two-thirds of total GDP, has kept the economy growing at a steady clip. However, a recent unexpected drop in retail sales could be the first sign of that economic pillar faltering.
Retail sales fell 0.3 percent in September according to the Commerce Department, with consumers cutting back on online shopping, building materials, and cars. This marks the first monthly retail sales decline since February. The drop came as a surprise to economists, who had forecast a 0.3 percent increase for the month.