Retail sales September 2022:

Consumer spending was flat in September as prices surged and the Federal Reserve implemented higher interest rates to slow the economy, government data released Thursday showed.

Retail and food service sales were little changed in the month after rising 0.4% in August, according to pre-estimated from the Department of Commerce. This was lower than the Dow Jones estimate of a 0.3% gain. Excluding autos, sales were up 0.1%, compared with estimates unchanged.

Considering that the retail figures are not adjusted for inflation, the report shows that real spending across many of the areas it covers fell during the month.

A report by the Bureau of Labor Statistics on Thursday indicated that consumer prices increased by 0.4% includes all goods and services, and 0.6% when excluding food and energy.

Other retail stores fell 2.5% for the month, while gas stations fell 1.4% as energy prices fell.

A range of other sectors also fell, including sporting goods, hobbies, book and music stores as well as furniture and home decor stores, both down -0.7%, while electronics and home appliances fell 0.8% and motor vehicles and parts dealers fell 0.4%.

Sales of general stores increased by 0.7%. Gainers also includes online stores, bars and restaurants, clothing retailers, and health and personal care stores, all of which rose 0.5%.

While gains for the month were muted, retail sales were up 8.2% from a year ago, matching a rise in the consumer price index. Shoppers are generally still cash-strapped despite late signs that they’re plunging into savings to make ends meet.

The Fed has enacted several rate hikes aimed at reducing inflation and bringing the economy back to equilibrium. The market expects the central bank to raise interest rates by 1.5 percentage points by the end of the year.

One separate report Thursday showed import prices falling 1.2% in September, slightly above estimates of 1.1%. Exports fell 0.8%.