Figures show US recovery slowing
Friday 14 April 1995
The weaker-than-expected figures followed reports thisweek showing that price rises last month were modest. "There is no doubt the economy has come off the boil," David Bloom, US economist at James Capel, said.
The value of sales rose 0.2 per cent in March, taking their annual growth rate down to 3.8 per cent. Sales fell 1.0 per cent in February - more than double the previous estimate of the decline. The weakness of dollar takings implies a big fall in sales volumes over the past two months.
In March, new car sales were unchanged. They account for about a fifth of the total value of retail spending, but even excluding cars the sales increase was only 0.2 per cent. Non-durable goods were flat, and petrol sales fell.
The areas of spending that increased were furniture and building materials and clothing, but these were recovering after an extremely weak February. They were probably helped along by price discounting.
The one sign of strength in the US economy recently has been job creation. Separate figures on unemployment benefit claims published yesterday showed the number of claims fell to 338,000 last week, continuing the decline in joblessness. About 750,000 new jobs were created in America in the first three months of this year.
Financial markets reacted favourably to the latest confirmation of the economy's apparent soft landing. Elias Bikhazi, an analyst at Deutsche Bank Securities in New York, said: "Four important economic reports in a row say Alan Greenspan can stop raising rates." He said the Fed chairman could even consider easing policy later in the year.
Diving in at the deep end is no excuse for shirking the style stakes
- 1 World Cup 2014: 20 things we learned in Brazil
- 2 Why I'm on the brink of burning my Israeli passport
- 3 War is war: Why I stand with Israel
- 4 L'Oreal cuts ties with Belgium supporter Axelle Despiegelaere after hunting trip photographs
Game of Thrones author George RR Martin says 'f*** you' to fans who fear he will die before finishing Westeros saga
Ian Thorpe gay: Olympic swimmer comes out in Parkinson interview
Pamplona bull run: Man who contributed to a survival guide for the festival falls foul of the raging beasts
Israel-Gaza conflict: William Hague calls for ceasefire but says Israel 'has the right to defend itself'
Supermoon 2014: When and why will the moon look bigger and brighter this summer?
Sustained immigration has not harmed Britons' employment, say government advisers
War is war: Why I stand with Israel
7/7 memorial defaced on anniversary of 2005 attacks with ‘Blair lied thousands died’ graffiti
Australia facing international condemnation after turning around Sri Lankans at sea
Even when it brutalises one of its own teenage citizens, America is helpless against Israel
Socialist Worker called to apologise over ‘vile’ article saying Eton schoolboy Horatio Chapple's death is ‘reason to save the polar bears’
iJobs Money & Business
£70000 per annum: Harrington Starr: Information Security Manager (ISO 27001, A...
£75000 - £85000 per annum + ex bens: Deerfoot IT Resources Limited: Biztalk Te...
£60000 per annum: Harrington Starr: Trade Desk Specialist (FIX, Linux, Windows...
£35000 per annum: Harrington Starr: Service Desk Analyst (Windows, Active Dire...