Aug. 14 (UPI) — The U.S. Department of Commerce said Friday that retail sales dropped 0.6% in July from June, the largest decline since May 2025.
The department’s figures, which are adjusted for seasonal swings but not for inflation, revealed retail sales were down from June’s 0.2% gain and fell far short of the 0.1% gain that economists had forecasted in a FactSet poll.
However, retail sales have increased by 5% over the past year, exceeding the long-term average.
Some analysts attributed a portion of July’s dip to the annual Amazon Prime sale, which normally takes place in July, but was held in June this year. Internet sales, the second-largest category of retail sales after automotive, were down 2.3% in July.
Figures for the past year show online sales are overall up 8%.
Auto sales were down 1.8% in June.
The Commerce Department report showed sales at bars and restaurants actually went up in July, with a .5% increase over the previous month.
Data from the U.S. Bureau of Labor Statistics earlier revealed 23,000 jobs were cut by employers in July. The unemployment rate was measured at 4.1%, down from 4.2% in June.
