U.S. Retail Sales Tick Up in Boost to Economy [Video]

Retail sales edged up by 0.1% from July to August, according to the Commerce Department.

This modest increase follows a larger surge last month, which marked the highest growth rate in retail sales in a year and a half.

The data suggests that Americans continue to spend more at retailers, offering a slight boost to the economy as the Federal Reserve weighs its next move on interest rate cuts.

Online retailers, sporting goods stores, and home and garden stores all reported stronger sales during the period.

Average wages, particularly for lower-income Americans, have risen significantly since the pandemic, allowing many to keep spending even as prices for necessities remain elevated.

Inflation, however, is showing signs of easing, hitting a three-year low of 2.5% last month.

Inflationand consumer spending have become focal …