U.S. retailers see mixed results in July, while consumers 'grind forward' Print
Written by Eric Tiansay   
Tuesday, 13 August 2013 03:39 PM America/New_York

Retailers saw a mixed bag in July, with sales gains in many back-to-school categories, but surprising declines in home-based categories, according to the National Retail Federation (NRF).

Core retail sales—excluding autos, building materials and fuel—increased 0.3% seasonally adjusted and increased 5% unadjusted year-over-year in July. Including those three categories, last month's retail sales rose 0.2% and 5.4% unadjusted year-over-year, U.S. Department of Commerce figures showed today.

Book and music, sporting goods and hobby stores' sales increased 1% seasonally adjusted month-to-month, and rose 3.9% unadjusted year-over-year, NRF said.

"Consumers continue to grind forward in July, marking 13 consecutive months of retail sales gains," NRF President and CEO Matthew Shay said. "However, consumers alone can't be expected to shoulder the burden of the economy. Fiscal and monetary policy uncertainties combined with stagnant economic and employment conditions continue to breed a volatile market with extreme swings in consumer spending. The economy can't seem to maintain any amount of momentum. We just can't seem to pull ourselves up."

NRF Chief Economist Jack Kleinhenz noted that "spending has stalled and the economy is stuck in neutral."

"Even with modest employment gains and steady consumer confidence, Americans remain in a cautiously positive spending pattern," he said. "While clothing and sporting goods retailers saw modest gains with early back-to-school shopping, home-based retailers saw marked decreases, possibly indicating the end of the year-long housing boom."