Uploaded by FinancialNewsOnline on Nov 15, 2011
The Commerce Department reported Tuesday retail sales grew by a half a percent in October, giving investors a positive outlook on the U.S. economy. Overall sales increased 0.6 percent, the best growth since March. The median forecast by economists surveyed by Bloomberg News was a rise of 0.3 percent.
In specific retail sectors, consumers spent more on electronics, appliances, hardware and building supplies. Sales also rose at grocery stores, bars and restaurants, and health care stores.
The producer price index, which measures price changes before they reach the consumer, declined 0.3 percent in the month, the Labor Department reported. This is the first decrease of that index in four months.
Joel Naroff, chief economist at Naroff Economic Advisors commented on the government findings saying, "The consumer has to come through this holiday season if we are going to get back to more decent growth rates and the early readings are those households have hit the stores quite strongly."
In specific retail sectors, consumers spent more on electronics, appliances, hardware and building supplies. Sales also rose at grocery stores, bars and restaurants, and health care stores.
The producer price index, which measures price changes before they reach the consumer, declined 0.3 percent in the month, the Labor Department reported. This is the first decrease of that index in four months.
Joel Naroff, chief economist at Naroff Economic Advisors commented on the government findings saying, "The consumer has to come through this holiday season if we are going to get back to more decent growth rates and the early readings are those households have hit the stores quite strongly."
