Consumer Spending Jumps More Than Forecast in August

U.S. retail sales rose more than economists had forecast in August, adding to signs that consumer spending remains resilient even as households continue to grapple with elevated prices in some categories. The stronger-than-expected reading came from broad-based gains across several major retail categories.

Analysts said the data complicates the picture for policymakers trying to gauge how much room remains for further interest rate moves without reigniting inflation. Retailers, for their part, said the numbers point to steady demand heading into the final months of the year, though they cautioned that spending patterns could shift depending on how the labor market holds up.