MW:Sept. retail sales dip 0.1% as auto purchases drop
By Jeffry Bartash
WASHINGTON (MarketWatch) - U.S. retail sales fell in September for the first time in six months, but the decline stemmed almost entirely from a deceleration in auto purchases that could prove temporary. Sales in most other retail businesses rose in the month prior to the government shutdown. The Commerce Department on Tuesday said retail sales decreased a seasonally adjusted 0.1% in September, as sales at auto dealers posted the biggest drop in nearly a year. Auto sales sank 2.2%, partly because of fewer weekend shopping days in the month and short supply of some popular models. Excluding the large auto industry, retail sales climbed 0.4% to mark the third biggest increase of the year, a sign that consumers did not cut back much on spending ahead of the budget standoff in Washington. Retail sales account for about one-third of consumer spending, the main engine of economic growth. Economists polled by MarketWatch had forecast retail sales to be unchanged overall but rise 0.4% minus autos. Sales at bars and restaurants advanced 0.9%, as did sales at food and beverage stores. Sales also rose 0.7% for electronics outlets. Gasoline-store sales, meanwhile, were flat, while sales at apparel stores fell 0.5%. In the past year U.S. retail sales have risen a mild 3.2%, a pace that's not fast enough to push economic growth into a higher gear. In August, the 0.2% increase in sales was unchanged.