The Census Department Advance Estimates of U.S. Retail and Food Services report shows seasonally-adjusted retail and food services sales for September 2017,were $483.9 billion, an increase of 1.6 percent from August. The hurricane Impacts are noticeable.
Percentage Gains From August
- Retail trade sales rose 1.7 percent
- Motor vehicles rose 3.6%
- Building materials rose 2.1%
- Gasoline rose 5.8%
In contrast, electronics, health care, sporting good and hobbies, department stores, and miscellaneous retailers were all lower.
Continuing the trend towards online shopping, nonstore retailers rose 0.5%
A separate census report shows Inventories also rose today. Thus, on the surface, it may look like a big boost to GDP is coming.
However, Income was lost. Stores in impacted areas were closed.
I am also unsure what happens to the valuation of change in private inventories (CIPI). Inventories were destroyed and replaced. It's a crap shoot how the BEA will calculate the impact on inventories.
Dudley is wrong. Hurricanes are not good for the economy. If they were, Puerto Rico would be a bastion of strength.
Mike "Mish" Shedlock