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πŸ‡ΊπŸ‡Έ Retail sales surged as Empire State collapsed, and the Fed hikes today anyway

πŸ‡ΊπŸ‡Έ Retail sales surged as Empire State collapsed, and the Fed hikes today anyway

US retail sales jumped 1.2% in August, beating forecasts, even as the Empire State Manufacturing Index collapsed to 7.6 from 20.6. The Fed delivers a widely expected quarter-point rate hike this afternoon under Chair Kevin Warsh.

Monthly bar chart of US retail sales control group MoM % from 2023 through Aug 2026; green up bars, red down bars, latest reading labeled 1.4.
Schwab's Kevin Gordon notes the GDP-tracking control group posted its strongest monthly gain since September 2024, a resilient consumer print hours before the Fed decision. Source

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