Retail Sales In The US Were Robust In June 2019

The retail sales in the US (2019) in June increased by 0.4% over May, better than the market forecast, and the total sales of all major items increased. This shows that the US economy is quite healthy, and it also makes it difficult for the Fed to cut interest rates at the end of July.

The growth rate of retail sales in June was the same as that in May, but it was better than 0.2% of the market forecast. The monthly increase of 0.4% after the deduction of vehicles was better than the estimated 0.1%. The core sales after deducting automobile and gasoline increased by 0.7% in the month, which is better than 0.5% in May and 0.3% in May.

Most analysts attached importance to the "control group" product sales increased by 0.7%, better than 0.6% in May, far beyond the estimated 0.3%. The control group does not include food service industry, automobile sales, building materials stores and gas stations and other projects, is used to calculate the gross domestic product consumption expenditure.

Among the 13 major retail items, 11 sales increased, while sales in non store retail businesses (including e-commerce) increased by 1.7% in the month, but sales in department stores decreased by 1.1%, down from 0.6% in May. Auto sales increased by 0.7% over the month, the same as in May. But sales of Electronics / home appliances retail outlets and petrol stations have declined. Petrol station sales fell by 2.8%, mainly due to a second month drop in gasoline prices.

Analysts pointed out that due to the good employment and retail sales data in June, the Fed will cut interest rates by 1 yards or 2 yards at the end of July, making it even more difficult to determine.