Investing.com - Retail sales in the U.S. rose much less than expected in September, as Americans spent less at restaurants, grocery stores and gas stations.
Sales may have been hindered in part by Hurricane Florence, but the U.S. Census Bureau said it could not quantify the impact. The storm battered parts of the Atlanta seaboard, most notably the Carolinas.
The downbeat data dashed optimism over the health of the economy and raised questions about whether it slowed a bit toward the end of summer.
Retail sales increased by a seasonally adjusted 0.1% last month, according to the U.S. Commerce Department, below expectations for a gain of 0.7% and following a rise of 0.1% in August.
Core retail sales, which exclude automobile sales, declined by a seasonally adjusted 0.1%, disappointing forecasts for a gain of 0.4%. Core sales rose by a downwardly revised 0.3% in the preceding month.
Core sales correspond most closely with the consumer spending component of the government's gross domestic product report.
Consumer spending accounts for as much as 70% of U.S. economic growth.