US consumers cut retail spending sharply in July
Economists had expected a 0.1% gain, but spending also fell 0.2% excluding gas stations and auto dealers, the Commerce Department said.
- Retail sales fell 0.6% last month, the Commerce Department reported Friday, missing the 0.1% gain projected by FactSet and marking the steepest drop since May 2025.
- Shoppers unexpectedly cut spending as the boost from government tax refunds faded, a trend causing Retail spending to decline since the spring.
- Excluding sales at Gas stations and at auto dealers, Retail sales fell 0.2% last month, while the lone services category—restaurants—registered a 0.5% increase.
- Gas prices ticked up to $4.08 per gallon, up from $3.85 a month ago, according to AAA, as energy costs weigh on Americans.
- America's economic engine is losing steam after employers shed 23,000 jobs in July, though Economists note it is too soon to conclude the job market is crumbling.
64 Articles
64 Articles
US Retail Sales Drop More Than Expected in July
US retail sales fell in July by the most in more than a year as consumers pulled back on purchases at online stores and auto dealers. Sales dropped by 0.6%, the forecast was for a 0.1% gain. Bloomberg's Michael McKee has the numbers followed by Aditya Bhave from BofA Securities with reaction. (Source: Bloomberg)
US retail sales weakest in over a year in July
Total sales were down 0.6 percent in July from the previous month, at $763.6 billion, according to the US Department of Commerce. Excluding sales at auto dealers and gasoline stations, sales dipped 0.2 percent on a month-on-month basis. Analysts had expected a 0.1 percent uptick in sales for the month instead, and all eyes are on US consumer health as households grapple with inflation while drawing down on their savings. "American consumers are …
US retail sales totaled US$ 763.6 billion in July, a decrease of 0.6% over June, according to data released on Friday (14) by the U.S. Department of Commerce. The result was well below the average estimate of a group of analysts, pointing to a high of 0.1%. In relation to the same period in the previous year, there was a high of 0.5%. Sales excluding cars fell 0.3% in July. The June result was revised to a high of 0.2%. Photo AP/David Zalubowski…
US retailers reported a drop in sales of 0.6 percent – economists had expected growth, with special effects and lower petrol prices behind the decline.
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