Retail Sales Rebound as Consumers Buy Autos and Clothing in July

A rebound for retail sales. Increased sales of cars and a range of other items helped push U.S. retail sales up 0.6 percent in July. The government report was slightly better than the 0.5 percent gain economists polled by Reuters had been expecting. Rising employment and lower prices for gas helped draw consumers into stores and auto dealerships. So-called core retail sales, which exclude sales of automobiles, gasoline, building materials and food services, rose 0.3 percent after a revised gain in June of 0.2 percent. Core retail sales correspond most closely with the consumer spending component of gross domestic product. Overall retail sales last month rose in most categories, with receipts at auto dealerships increasing 1.4 percent after falling 1.5 percent in June. There were also increases in sales at clothing, building materials and garden equipment, furniture and online retailers, as well as at restaurants and bars.