Retail sales increased at a slower-than-expected pace in May as high interest rates and inflation continued to weigh on consumers.
Retail sales increased 0.1%, less than the 0.3% economists had expected. In April, retail sales ticked down 0.2%, according to revised data from the Commerce Department.
Excluding autos and gas, retail sales increased 0.1%, below estimates for a 0.4% increase but above the 0.3% decline in April.
Capital Economics chief North America economist Paul Ashworth noted Tuesday’s retail sales reading adds to “signs that consumers are struggling a little.”
“The soft May retail sales data support our view that, after a disappointing first quarter, GDP growth remains a little lackluster in the second quarter too,” Ashworth said.
Josh Schafer | Yahoo Finance