Americans increased their retail purchases by 1.2 percent in July, with solid gains in appliances and clothing, restoring sales to their level before the viral pandemic erupted in March. Sales at retail stores and restaurants have now risen for three straight months, after enormous plunges in March and April, when the pandemic suddenly shuttered businesses and paralyzed the economy. Still, much of that spending has been fueled by government relief spending that had put more money in people’s pockets but has since expired. Retail sales include only about one-third of all consumer spending. The government’s figures mask a huge shakeout in the retail industry, with Americans pulling sharply back on in-person shopping and spending more online.

Source: The Standard August 14, 2020 13:22 UTC