Retail Sales Jump 1.4% in July

Retail sales in the United States rose 1.4% to $317.2 in July, the Commerce Department reported Wednesday, led by purchases of automobiles and clothing.

Almost all trucking operations depend on the health of retail sales because such sales involve nearly every type of cargo. Consumer spending accounts for two-thirds of all economic activity.

The increase in sales followed a revised 0.9% increase in June. July's increase was the biggest since a 2.3% jump in March. Excluding automobiles, sales increased 0.8% last month.

resident Bush’s recent tax-cut package put an additional $10 billion in consumers' pockets last month, $2 billion of which was spent, Bloomberg said based on research from Lehman Brothers Inc.

Economists had expected retail sales would rise 1% last month, Bloomberg said.

Sales at automobile dealerships and parts stores rose 3.2% in July, the most since March. Sales at general merchandise stores, which include department stores, rose 1.1%.

Receipts at service stations rose 1.6% last month following a 1% gain in June. The average price for a gallon of gasoline at the pump last month was $1.55 a gallon compared with $1.53 a gallon a month earlier.

10510