Market unstable, but balanced by consumer spending
The Department of Commerce released its monthly sales report last week, showing that consumer spending was surprisingly strong in the midst of record inflation. The supply chain issues in the wake of the pandemic eased somewhat in April. Factory production accelerated, creating more products for consumers to buy either on credit or with money they were unable to spend over the past two years.
Overall, retail sales rose 0.9% last month. Auto sales rose the most of all sectors, showing a 2.2% increase in spending in comparison to March. However, the department’s data has not been adjusted for current inflation rates, and the rising costs of all consumer goods may be contributing to this rise in consumer spending.
As the Lord Leads, Pray with Us…
- For wisdom for Secretary Raimondo as she heads the Commerce Department.
- For U.S. federal officials as they assess options to support the consumer economy.
Sources: The Hill, Reuters
