U.S. Shoppers Splurge in Face of Global Headwinds

  • American shoppers gave the U.S. economy a boost in July, countering manufacturing-sector weakness
  • Trade-related headwinds, weak global growth and a strong dollar that crimps demand for U.S. exports have taken a toll on manufacturers this year, weighing on the U.S. expansion
  • While American shoppers were a bulwark to signs of weak growth at the start of the third quarter, recent surveys show households’ optimism is based on the strong labour market and wage gains