Retail Sales Higher Than Expected in May

Washington, DC, June 12, 2008--Retail sales rose 1.0 percent in May as Americans spent more on gasoline and goods, a government report showed Thursday.

Core retail sales, which exclude vehicle sales, increased by 1.2 percent, the Commerce Department said.

Total retail sales rang up 385.4 billion dollars during the month.

The report's headline and core readings were stronger-than-expected. Most economists had predicted that retail sales rose 0.6 percent and that core sales increased 0.7 percent last month.

The gain in overall sales was the strongest since November.

Gasoline sales jumped 2.6 percent last month compared with April. Sales have boomed 13.8 percent compared with a year ago.

Building and garden equipment sales rose 2.4 percent during the month while general merchandise stores saw sales increase 1.2 percent.