United States: Retail sales growth moderates in July
August 14, 2020
Nominal retail sales increased 1.2% in month-on-month seasonally-adjusted terms in July. The print eased notably from June’s 8.4% growth, and missed market expectations of a 2.3% increase. Retail sales excluding cars, gasoline, building materials and food services—also known as core retail sales—rose 1.5% in July, after growing 7.7% in the month prior.
The rise in retail sales came as certain parts of the country carried on easing lockdown restrictions. Retail sales of electronics and appliances jumped 22.9% in July, while clothing and accessories, and gasoline purchases also jumped notably. Nevertheless, spending on building and equipment services and motor vehicles dipped in July.
In annual terms, retail sales increased 2.7% in July, better than June’s 2.1% rise. Meanwhile, the annual average variation in retail sales growth was stable at June’s 0.3% in July.
Author: Steven Burke, Economist