Aug. 19, 2022
U.S. Consumers Still Shopping Despite Inflation
U.S. consumers continue to shop despite high inflation, says the National Retail Federation. It says core U.S. retail sales rose in July even as overall sales remained flat on a monthly basis, with both calculations showing strong year-over-year gains as consumers kept shopping despite high inflation. “Consumers are adapting to higher prices by prioritizing essentials like food and back-to-school items, and retailers are working hard to absorb the impact of higher costs and help customers stretch their hard-earned dollars,” says Matthew Shay, NRF president and CEO. “However, policy measures like removing China tariffs, enacting smart immigration reform, and investing in supply chain resiliency are needed to relieve inflationary pressure and lower costs for American families.” NRF’s calculation of retail sales – which excludes automobile dealers, gasoline stations, and restaurants to focus on core retail – showed July was up 0.8 per cent from June and up 7.1 per cent unadjusted year over year. July sales were up in all but three retail categories on a yearly basis, led by online sales, building material stores, and grocery stores. Building materials and garden supply stores were up 1.5 per cent month over month seasonally adjusted and up 6.2 per cent unadjusted year over year.