http://www.bloomberg.com/apps/news?pid=20601087&sid=agkv0bs628jw&refer=home
May 13 (Bloomberg) -- Retail sales in the U.S. fell in April, led by a
slump in auto purchases that masked stronger-than- forecast gains elsewhere,
indicating rising energy bills and a faltering labor market haven't stopped
Americans from shopping.
Purchases dropped 0.2 percent last month after a 0.2 percent increase
in March, the Commerce Department said. Purchases excluding automobiles
increased 0.5 percent, more than twice as much as anticipated.
The gains may raise expectations that consumers will spend their tax
rebate checks at malls and restaurants in coming months, cushioning the
economic slowdown. Still, tougher lending rules and declines in payrolls and
property values indicate any rebound may be short-lived.
``Don't count the consumer out yet,'' Chris Rupkey, chief financial
economist at Bank of Tokyo-Mitsubishi UFJ Ltd. in New York, said before the
report. ``Jobs are harder to get, gasoline prices set new records almost daily,
and yet the consumer continues to spend on life's necessities.''
The median forecast of 76 economists surveyed by Bloomberg News
projected a 0.2 percent decline. Estimates ranged from a drop of 0.9 percent to
a 0.6 percent increase.
Excluding automobiles, sales were projected to increase 0.2 percent.
Today's report showed purchases at automobile dealerships and parts
stores dropped 2.8 percent, the most since June, after a 0.5 percent decrease
in March.
Car Sales
Industry figures last week showed cars and light trucks sold at an
annual pace of 14.4 million in April, the fewest in almost a decade.
Filling station sales also dropped, even as gasoline prices surged. The
0.4 percent decrease last month followed a 1.6 percent gain in March.
The report showed strength in housing-related areas, such as building
materials, furniture and appliances. The 1.9 percent jump in demand at
suppliers of building materials was the biggest since May 2007. Restaurant
sales also improved by 0.9 percent, the most this year.
Excluding autos, gasoline and building materials, the retail group the
government uses to calculate gross domestic product, sales climbed 0.4 percent,
matching the previous month's gain that was larger than estimated last month.
The government uses data from other sources to calculate the contribution from
the three categories excluded.
---------------------------------
Be a better friend, newshound, and know-it-all with Yahoo! Mobile. Try it now.
