BlockBeats News, October 16th, Multiple credit card transactions and private sector data indicate that U.S. consumer demand slowed last month. After analyzing high-frequency expenditure data including credit card lending and same-store sales, economists stated that consumers are starting to tighten their spending on the back of a strong 4.1% annualized growth in retail activity over the previous three months. Shruti Mishra, an economist at Bank of America, pointed out: “Looking at the period from June to August, there is a monthly slowdown in spending, and you won’t see the same growth rate as before.”
Data from the analytics platform Second Measure on credit and debit card transactions showed that last month consumers’ willingness to purchase non-essential items such as furniture, electronics, and appliances weakened. Credit card data from Bank of America also indicated cooling demand. Economists at Barclays Bank stated that, based on a model that includes disposable income, stock market wealth, inflation, consumer confidence, and credit card spending, the momentum of retail sales in September “may have weakened.” (FXStreet)
