Yet most stores except auto dealers, home improvement boost revenue in June
WASHINGTON (MarketWatch) — Sales at U.S. retailers rose in June by the smallest amount since January, but most stores except for auto dealers and home-improvement outlets boasted an improvement in revenue.
Sales were also a bit stronger than previously reported in May and April, the first two months of the second quarter, according to revised government data.
In June, retail sales rose by a seasonally adjusted 0.2%, or by 0.4% excluding the auto sector, the Commerce Department said Tuesday. Economists polled by MarketWatch had forecast sales to rise by 0.6% overall and by 0.6% minus autos.
Retail sales account for about one-third of consumer spending, the main engine of U.S. economic activity.
While auto dealers are selling the highest number of vehicles in eight years, they are also offering good discounts and that appeared to result in lower revenue in June. Auto sales dropped 0.3% in June, the first decline in five months.
Yet sales rose for stores that sell clothes, food, electronics, health items, sporting goods and books. Sales also increased at bars and restaurants, general-stores, department stores and Internet retailers.
In May, meanwhile, sales were revised to a show a 0.5% increase instead of 0.3%. And April sales were revised up to 0.6% from 0.5%.
In the past year, retail sales have risen 4.3%, about two-thirds as fast as normally is the case. Americans are feeling more confident about the economy amid one of the best spurts of job creation in years, but not enough to significantly increase spending or reduce the rate of savings.
