MNI DATA IMPACT: US August Retail Sales +0.4%, Above Expectations>

--Retail Sales Ex. Motor Vehicle Flat; Ex. Mtr Veh and Gas +0.1%

By Alexandra Kelley

     WASHINGTON (MNI) - The value of retail sales rose 0.4% in August, 

well above the 0.2% gain expected by markets. This followed a 

upwardly revised 0.8% in the previous month, according to data 

released Friday by the Commerce Department. 

     Excluding motor vehicles, retail sales saw no change after turning 

in 1.0% in July. The year over year rate for retail sales excluding 

motor vehicle, however, increased by 3.5%. Control group sales excluding 

motor vehicle, gasoline station, and building material sales) was flat 

as well. 

     Here are some of the key takeaways from the data: 

     -  Gasoline station sales declined by 0.9% and motor vehicle sales 

rose, accelerating by 1.8%. Outside of those two more volatile 

categories, retail trade sales were still up by 0.6%.   

     -  Nonstore retailers, referring to digital stores and mail-order 

purchases, jumped by 1.6% in August, suggesting strong e-commerce 

shopping. 

     -  Building material and garden equipment sales also increased, 

moving to 1.4% growth from a 1.0% increase in July. This jump speaks to 

the unmet demand for housing in the U.S. market and implies more 

construction in future months.  

     - Food services & drinking places reported a sizeable decline of 

1.2% in August as opposed to the steady 0.6% growth seen in July. 

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

[TOPICS: MAUDS$,MT$$$$,M$U$$$,MAUDR$]