Retail sales at stores, online and in restaurants grew 0.3% in May from April, the Commerce Department reported on Thursday. That’s above economists’ expectations of a 0.1% decline, according to Refinitiv. Retail sales data is adjusted for seasonality but not for inflation. The report reflects resilient consumer spending despite rapid interest-rate hikes and lingering economic uncertainty. Spending grew across every category, except at gasoline stations and miscellaneous stores.
“The fact that the number of visits to stores has remained flat year over year suggests that consumers are not significantly affected by the current economic issues,” Field wrote in a statement to CNN. “This observation indicates that shoppers continue to engage with physical retail locations, displaying consistency in their behavior.” The better-than-expected retail sales report adds to signs that US consumers aren’t ready to tap out just yet — though economists think they eventually will.
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