U.S. retail sales rose 1 percent in June, largely due to higher prices for food and gas, led by inflation and not sales volumes, according to the Commerce Department on July 15.
Retail sales remained stagnant in July as falling fuel prices slowed gas station revenue and consumers turned to online shopping,
CNBC reported.
Total Retail Sales Report
The total retail sales, excluding auto purchases, rose 0.4 percent in June and were unchanged on an annual basis. Economists had expected a 0.1 percent increase for the top-line number; instead it was flat year over year (in line with expectations). May’s gain of 1 percent was revised down to 0.8 percent.
Retail sales excluding food and gas rose 0.7 percent from the previous month.
The numbers are seasonally adjusted, but not for inflation. They also come during a month when the consumer price index was flat.
As the price of gasoline dropped from its record high, sales at gas stations declined 1.8 percent. Motor vehicle and parts dealers also saw their sales fall sharply—down 1.6 percent from the previous month.
National average gas prices peaked at $5.01 per gallon on June 14, but have since fallen to $3.79 a gallon for regular unleaded gasoline, as
measured by AAA on Sept. 30.
