Financial Times FT.com

Tax rebates boost US retail spending

By Chris Bryant

Published: June 12 2008 14:38 | Last updated: June 12 2008 17:06

US retail sales rose at twice the forecast rate in May as consumers began spending tax rebate cheques, soothing concerns that indebted shoppers would shun the stores and further slow the US economy.

Total retail sales climbed 1 per cent last month, the biggest monthly increase since November. Meanwhile, the previous month’s sales figures were revised from a 0.2 per cent decline to a 0.4 per cent increase.

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