US retail trade sales decline slightly in June 2024

US retail trade sales experienced a slight decline of 0.1 per cent in June 2024 compared to May 2024, according to the latest advance estimates from the US Census Bureau. However, on an annual basis, retail trade sales were up 2 per cent from June 2023. Notably, non-store retailers saw a significant increase, with sales rising 8.9 per cent from the previous year.

“Spending has been uneven but remains in good condition notwithstanding the slower pace of payrolls, subdued consumer confidence and price deflation for retail goods. Looking ahead, we expect consumer spending trends to continue even though they will likely be tempered by softening of employment and income growth. Still-high interest rates are making purchases on credit more expensive and have discouraged new borrowing,” said National Retail Federation (NRF) chief economist Jack Kleinhenz.

The combined value of distributive trade sales and manufacturers’ shipments for May 2024, adjusted for seasonal and trading day differences but not for price changes, was estimated at $1,861.4 billion. This figure remained virtually unchanged from April 2024 but showed a 2 per cent increase from May 2023.

Manufacturers’ and trade inventories for May 2024, also adjusted for seasonal and trading day differences but not for price changes, reached an end-of-month level of $2,558.5 billion. This represents a 0.5 per cent increase from April 2024 and a 1.6 per cent rise from May 2023, as per the bureau.

The total business inventories to sales ratio, based on seasonally adjusted data, stood at 1.37 at the end of May 2024, slightly lower than the 1.38 ratio recorded in May 2023.

Fibre2Fashion News Desk (DP)