Retail Sales Grow In August
August retail sales were up in August as consumer demand and easing inflation were key to overcoming softening job growth, according to the CNBC/NRF Retail Monitor.
Total retail sales, excluding automobiles and gasoline, were up 0.45% seasonally adjusted month-over-month and up 2.11% unadjusted year-over-year in August, according to the Retail Monitor. That compared with increases of 0.74% month-over-month and 0.92% year-over-year in July.
The Retail Monitor calculation of core retail sales (excluding restaurants in addition to automobiles and gasoline) was up 0.17% month-over-month in August and up 1.93% year-over-year. That compared with increases of 0.95% month-over-month and 1.69% year-over-year in July.
“Retail sales data shows that consumers continued to spend on household priorities in August,” said Matthew Shaw, president and CEO of the National Retail Federation. “This is despite a slowing labor market that is expected to prompt the Fed to finally lower interest rates in September. Even with slower employment growth, unemployment is near historical lows and ongoing job and wage gains coupled with lower inflation should keep consumers on solid footing heading into the holiday season. Lower interest rates take time to trickle down and won’t provide an immediate boost but should stabilize the economy.”
August sales were up in five out of nine retail categories on a yearly basis, led by online sales, clothing and accessories stores, and health and personal care stores. Sales were also up in five categories on a monthly basis. Specifics from key sectors include:
- Online and other non-store sales were up 1.49% month-over-month seasonally adjusted and up 17.03% year-over-year unadjusted.
- Clothing and accessories stores were up 2.13% month-over-month seasonally adjusted and up 11.44% year-over-year unadjusted.
- Health and personal care stores were up 0.28% month-over-month seasonally adjusted and up 6.69% year-over-year unadjusted.
- Grocery and beverage stores were up 0.86% month-over-month seasonally adjusted and up 2.53% year-over-year unadjusted.
- General merchandise stores were up 0.28% month-over-month seasonally adjusted and up 1.94% year-over-year unadjusted.
- Electronics and appliance stores were down 0.95% month-over-month seasonally adjusted and down 2.54% year-over-year unadjusted.
- Furniture and home furnishings stores were down 0.17% month-over-month seasonally adjusted and down 2.57% year-over-year unadjusted.
- Building and garden supply stores were down 1.31% month-over-month seasonally adjusted and down 2.92% year-over-year unadjusted.
- Sporting goods, hobby, music, and bookstores were down 2.89% month-over-month seasonally adjusted and down 10.78% year-over-year unadjusted.
