U.S. retail sales rose broadly in August and consumer sentiment hit a 14-month high in September, supporting expectations for sturdy economic growth in the third quarter.

    The data Friday helped ease concerns about soft consumer spending, which had lagged other fairly upbeat economic data covering manufacturing, services and housing.

    “It is further indication that the underlying positive momentum in the U.S. economy is being sustained,” said Millan Mulraine, deputy chief economist at TD Securities in New York.

    The Commerce Department said retail sales, which account for a third of consumer spending, increased 0.6 percent last month after an upwardly revised 0.3 percent gain in July, as Americans stepped up purchases of automobiles and a range of other goods.

    The only decline was at gasoline stations, but that reflected declining prices at the pump that should free up income to support spending in the months ahead.

    In a sign of underlying strength, so-called core sales increased 0.4 percent in August. Core retail sales exclude purchases of automobiles, gasoline, building materials and food services, and correspond most closely with the consumer spending component of GDP.

    The Fed, which meets Tuesday and Wednesday, has said it would likely wait a “considerable time” after ending a bond-buying program in October before hiking rates from near zero.

    “Retail sales were still somewhat weaker in the third quarter and recent labor market indicators have been somewhat less encouraging in August and September,” said Scott Anderson, chief economist at Bank of the West. “This may be enough to keep the doves at the Fed in wait-and-see mode,” he said.(SD-Agencies)