US Retail Sales Surpass Expectations with July Surge

Highlights

• July sales up 0.7%, totaling $696.4 billion
• Nonstore retailers grow a massive 10.3% YoY
• Core Retail Sales exceed forecasts, up 1.0%

U.S. Retail Sales See Boost in July 2023

In the latest data, U.S. retail and food services sales for July 2023 experienced a growth, marking a 0.7 percent rise from the previous month, reaching a notable figure of $696.4 billion. Traders were looking for a 0.4% increase.

When compared to July of the prior year, this indicates a 3.2 percent increase. Delving deeper into the three-month span from May to July 2023, the sales surged by 2.3 percent compared to the same timeframe in 2022.

Additionally, Core Retail Sales rose 1.0% versus a 0.4% forecast and 0.2% previous reading.

Dissecting the various segments, retail trade sales saw an uptick of 0.6 percent from June 2023 and stood 2.0 percent above the sales from the previous year. A significant contributor to this surge has been nonstore retailers, witnessing a staggering 10.3 percent growth year-on-year. Furthermore, food services and drinking establishments were not left behind; they boasted an 11.9 percent jump compared to July 2022.

In terms of a short-term forecast, given the consistent growth trajectory in both retail and food services sales, the market sentiment leans bullish. Such positive numbers reflect a robust consumer spending pattern, indicating a thriving economic landscape.