Retail Sales Saw Growth as Summer Comes to a Close

This past month, sales for retailers and restaurants grew at a rate much higher than anticipated by economists. Despite fears of an economic downturn, U.S. consumers finished the summer with spending habits that did not indicate any cutbacks.

In September, sales grew by 0.4% from the previous month according to data from the Census Bureau. This is an increase from 0.1% growth in August. According to an article from the Wall Street Journal, this data alongside current unemployment filing rates depicts a cooling but still-robust economy as the U.S. heads into the presidential election.

Even over the past 12 months, retail sales have climbed nearly 1.7%, not adjusted for inflation. While rising unemployment rates over the summer brought some fear the economy was approaching a downturn, the data as summer comes to a close shows that the labor market and signs of consumers’ financial health present a more resilient image of the economy.

However, economists at Citi still predict that a mild recession is possible, but this summer has made banks feel more optimistic.

As we head into the election, economic data will be harder to analyze due to the recent hurricanes that have impacted those in Florida and North Carolina along with a large strike by Boeing machinists that is impacting other companies and aircraft supply chain workers. Both disruptions could impact the unemployment rate.

While economists might be optimistic about the economy following this increase in consumer spending, some consumers may be spending more money and taking on more debt burdens than they can handle. If you are feeling overwhelmed by your level of financial debt, filing for bankruptcy might be an option for you.

The attorneys at Sader Law Firm are available to answer all questions and figure out the best course of action for you. Contact us at (816) 561-1818 for a free phone consultation and learn more about what actions might be the best decision for you.