Report: June Retail Sales Up, Beat Expectations

With a slew of retailers closing their doors over the last few months, sales for the companies have slowed. June, however, brings a bright spot as retail sales beat economist expectations.

According to the U.S. Commerce Department, retail sales increased by 0.4 percent during the month based on the growth of automotive sales and household goods by consumers. The agency made its report on Tuesday after revising May’s numbers from 0.5 percent to 0.4 percent.

The 0.4 percent increase beat economists’, polled by Reuters, predictions of only a 0.1 percent bump for June over 2018’s sales of 3.4 percent. June’s increase follows a rise in retail sales in April and May, hinting towards a stronger second quarter for many retailers as consumer spending picks up.

When compared to Q1, the second quarter has seen an increase that may be due to low unemployment levels despite tariffs and burgeoning inventories, the news outlet reported.

Auto sales increased by 0.7 percent in June compared to a month previous while sales for building material stores found a 0.5 percent increase after it dropped a significant 1.5 percent in May, according to the Commerce Department.

The report from the agency also indicated that apparel stores were holding strong with a 0.5 percent increase while online and mail-order retail sales climbed 1.7 percent – the same as May’s increase.

Furniture stores also reportedly saw a jump of 0.5 percent with restaurants and bars hovering at an increase of 0.9 percent. Additional spending at hobby, music, and book stores remained unchanged for the month, the report said.