US RETAIL SALES HIT BY FOOD AND PETROL RISES, WHILE FOOD AND BEVERAGES INDEX RISES

US retail sales saw their smallest increase in April since last summer's slowdown, suggesting that the sharp rises in food and petrol prices are denting Americans' spending power.

Sales climbed 0.5% in the month, the weakest gain since July, although that came on the back of a 0.9% increase in March, the Commerce Department said.

The Consumer Price Index for food and beverages again finished higher, rising 0.4% in April to 226.3 after climbing 0.7% in March and 0.5% in both February and January, according to the Bureau of Labor Statistics of the Department of Labor.

The food index rose 0.4% in April after rising 0.8% in March and 0.6% in February.

The sharpest gain was recorded in the dairy and related products index, which increased 1.7%. That gain came on the heels of a 1.3% increase in March.

Also sharply higher was the index for meats, poultry, fish and eggs, which rose 1.1% for the second straight month, finishing at 221.1.

The index for nonalcoholic beverages advanced 1.2% in April to 166.4, while the index for cereals and bakery products rose 0.1% to 255.8.

The index for food at home rose 0.5% to 224.4, while the index for food away from home rose 0.3% for the second consecutive month.

The food at home index, which rose 1.1% in March, advanced 0.5% in April. The fruits and vegetables index fell 1.1% in April to 286.7, making it the only major grocery store food group to decline in April.