**MNI 5 THINGS: October US Retail Sales +0.8%, Autos +1.2%>

--5 Things We Learned From The September Retail Sales Data

By Shikha Dave and Harrison Clarke

     WASHINGTON (MNI) - The following are the key points from the 

October retail sales report from the Commerce Department released 

Thursday:               

     - October retail sales were up 0.8% in the month, above analysts 

projections for a 0.5% gain, and the 0.3% gain expected by markets. 

September sales were revised down to a 0.1% decline. The impact of 

Hurricane Michael can be seen in the 3.5% gain made by gas station 

sales. 

     - Excluding a 1.1% gain in motor vehicle sales, retail sales were 

up 0.7%, compared with the 0.5% gain expected. The gain in overall sales 

was revised down in September, and sales excluding motor vehicles were 

unrevised in September. 

     - October sales were up 0.3% ex. motor vehicle and gas, above 

the September rate, and were up 0.3% for the "control" group (ex auto, 

building materials, gas and food services), the same as the 0.3% gain in 

September. The data suggest that the underlying current of sales is 

steady. 

     - Gas station sales rose 3.5% in the month (retail sales ex. gas 

+0.5%), while building materials sales were up 1.0% and food services 

sales were down 0.2%. There were gains in all other categories except 

furniture. Building permit sales are likely to rise sharply in the 

coming months as rebuilding efforts in the hurricane-impacted areas 

increase. 

     - October sales were up 4.3%, vs the third quarter average, 

based on an MNI calculation. Sales were up 4.1% ex motor vehicles, and 

up 3.1% ex autos, building materials, gas, and food services. The 

result should be a positive factor in PCE growth for the quarter. 

     ** MNI Washington Bureau: 202-371-2121 ** 

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