June 18th, 2025
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According to the Commerce Department, retail sales in the US decreased by 0.9% in May, following a 0.1% decline in April. This reduction was primarily due to a significant drop in car sales, which had previously surged in March as consumers aimed to avoid President Trump's 25% tariff on imported vehicles and components. Despite a decrease in consumer confidence, stable inflation and low unemployment could help maintain reasonable spending levels in the upcoming months. Sales, excluding sectors like gas, cars, and restaurants, increased by 0.4% last month, indicating that consumers are still purchasing some non-essential items. While many categories experienced notable decreases, online retailers, clothing stores, and furniture stores saw an increase in sales. The overall decline in retail sales is believed to be linked to concerns about higher prices resulting from Trump's tariffs.
June 18th, 2025
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