April US retail sales moderate

US retail sales moderated in April, with overall retail sales unchanged seasonally adjusted from March and up three percent unadjusted year over year, according to data from the US Census Bureau.

“Even though household income and job growth are compressing, the consumer spending picture remains positive,” says Jack Kleinhenz, chief economist with the National Retail Federation (NRF). “The softer pace of spending is due in part to consumers being selective and prioritizing retail purchases. Yet, consumers remain willing to spend, keeping the economy afloat despite fatigue from stubbornly high inflation for services and higher interest rates.”

April’s core retail sales as defined by NRF – based on the Census data but excluding automobile dealers, gasoline stations and restaurants – were down 0.2 percent seasonally adjusted from March but up 3.9k percent unadjusted year over year. Core retail sales were up 3.8 percent year-over-year for the first four months of the year, in line with NRF’s forecast for 2024 retail sales to grow between 2.5 and 3.5 percent over 2023.