News

Retail purchases fall .5%

July 16, 2012

Retail sales dropped by .5 percent in June in the U.S., making it the third month in a row for decreased sales, according to Bloomberg, which reported that the unexpected decline may be a sign that limited employment gains are taking a toll.

May saw a 0.2-percent decrease, despite Bloomberg News' surveys predicting a 0.2 percent rise. Nine of 13 major retail sales categories declined in June, led by a 1.8 percent slump at gas stations that reflected declining fuel costs.

"People are just pulling back, and you're not likely to see a significant pickup from here," Michael Carey, chief economist for North America at Credit Agricole CIB in New York, told Bloomberg. "This was certainly a slowdown from the first quarter."

Read more about consumer behavior.