US Retail Sales Grow Strongly in June

RAPAPORT... US retail sales rose in June, amid improved consumersentiment and a healthier economic outlook, according to the National RetailFederation (NRF). Total purchase value grew 2.3% year on year in June, withthe three-month moving average, which includes April, May and June sales, up3.7% over the same period a year ago. The moving average for the three monthsto May rose 3.3% over the year before, the trade organization reported. "[The] results show the consumer remains engaged," said NRFchief economist Jack Kleinhenz. "The numbers are consistent with elevatedconsumer sentiment, healthy household balance sheets, low inflation, and wage andjob gains." The growth is even more significant because it comes on topof strong gains at the same time last year, Kleinhenz added. However, consumer-sentiment data was less positive for the month. The Consumer Confidence Index fell to 121.5 in Junefrom 131.3 in May, the Conference Board reported. "After two consecutive months of improvement, consumerconfidence declined in June to its lowest level since September 2017," saidLynn Franco, senior director of economic indicators at the Conference Board. "Theescalation in trade and tariff tensions earlier this month appears to haveshaken consumers' confidence." While the NRF's outlook is positive, it does note thepotential for the US-China trade war to affect US retail sales. "Tradeuncertainties continue to weigh on the long-term outlook," it observed. Image: Women shopping at a mall. (Shutterstock)