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Home»Economy»Retail Sales Explode Higher Showing Unexpected Consumer Strength
Economy

Retail Sales Explode Higher Showing Unexpected Consumer Strength

Press RoomBy Press RoomSeptember 16, 2026No Comments2 Mins Read
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Retail sales soared in August, defying predictions that slumping consumer sentiment and rising gasoline prices would trigger a pullback in spending.

Sales at retail shops and online rose 1.2 percent, the Commerce Department said Wednesday. Excluding gas stations, sales rose by a strong 1.1 percent.

Economists had forecast a 0.5 percent increase.

Twelve of the categories tracked by the Bureau of Economic Analysis saw higher sales. Only building materials and garden center store sales declined, slipping 0.2 percent.

In the first eight months of this year, sales are up 5.2 percent compared with the year-earlier period. Excluding gasoline, retail sales are up 4.2 percent.

Sales at gasoline stations rose 3.1 percent, boosted by higher gas prices. But those sales did not weigh on sales at other retailers.

Sales at bars and restaurants, a highly discretionary category sometimes seen as a bellwether for consumer spending, rose 1.2 percent.

Sales at general merchandise stores were strong, rising 0.7 percent. Health and personal care store sales rose 0.9 percent. Grocery store sales rose 0.5 percent.

Electronics and appliance stores saw sales jump 1.6 percent. Clothing store sales rose 0.7 percent. Furniture store sales rose 0.9 percent.

Online shopping was strong, pushing sales up 2.6 percent. The category that covers hobby stores, sporting goods stores, and book stores saw sales rise 1.2 percent.

Sales at dealers in cars, trucks, and auto parts rose by 0.6 percent, a large increase in a category where growth has been relatively soft this year.

The figures are adjusted for seasonal variations, such as back to school shopping, but not for inflation. In a report released last week, the Labor Department said consumer prices rose 0.4 percent in August and sales excluding gasoline, food, and shelter rose 0.3 percent.

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