Retail Sales Jump 1.2% In August, Much More Than Expected

U.S. retail sales rose 1.2% in August, according to a report from the Commerce Department released Wednesday, beating economist expectations. Sales had declined by a revised 0.5% in July after an initial 0.6% decrease. Economists expected retail sales to increase 0.7% in August versus a 0.6% drop the prior month. Excluding motor vehicle and parts dealers, retail sales still gained 1.4% in August after falling 0.2% in July; ex-auto sales were forecast to rise 0.5%. The rebound was attributed partly to a 3.1% jump in gas station sales amid higher gasoline prices. The report also showed gains at non-store, miscellaneous stores, electronics and appliance retailers, alongside growth in food services, drinking places, and certain sporting goods categories, while department stores declined.