Monday, May 9, 2016

Retail sales likely rebounded in April

GTY 465988472 A CGO FIN USA NYRetail sales and consumer spending broadly have underpinned both economic and job growth, but they sputtered in the first quarter. That helped slow economic growth to 0.6% at an annual rate following a tepid 1.4% gain in the fourth quarter. Many economists cite passing drags, such as a pullback in auto sales. But car sales bounced back in April and “should provide a boost to the overall sales numbers,” says Lewis Alexander, Nomura’s chief U.S. economist. Meanwhile, he says, generally steady job growth, low gasoline prices and solid household balance sheets should further bolster sales, he says. And citing reduced volatility in financial markets since February, RBC Capital Markets estimates the Commerce Department will reportFriday that a core measure of retail sales increased a healthy 0.4% in April.. . . more

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