BUSINESS: Research + Stats Retail Sales Maintain Strong Growth in August, NRF Says By Staff Monday, September 16, 2024 3:27 PM Retail sales continue to show signs of rebound following increased consumer demand in August. The latest CNBC/National Retail Federation Retail (NRF) monitor, powered by Affinity Solutions, shows that lower inflation is helping recharge Americans’ retail habits. “Retail sales data shows that consumers continued to spend on household priorities in August,” NRF president and CEO Matthew Shay said. “This is despite a slowing labor market that is expected to prompt the Fed to finally lower interest rates in September.”In August, total retail sales, excluding automobiles and gasoline, rose 0.45 percent seasonally adjusted month over month and were up 2.11 percent unadjusted year over year in August, according to the Retail Monitor. That compared with increases of 0.74 percent month over month and 0.92 percent year over year in July.Meanwhile, the Retail Monitor calculation of core retail sales, excluding restaurants, automobiles and gasoline, was up 0.17 percent month over month in August and up 1.93 percent year over year. Total sales were up 2.08 percent year over year for the first eight months of the year, and core sales were up 2.33 percent.Several sectors saw significant growth in August, led by online sales, clothing, accessories stores, and health and personal care stores. Online and other non-store sales were up 1.49 percent month over month seasonally adjusted and up 17.03 percent year over year unadjusted, while clothing and accessories stores were up 2.13 percent month over month seasonally adjusted and up 11.44 percent year over year unadjusted.Health and personal care stores saw a sales increase of 0.28 percent month over month seasonally adjusted and up 6.69 percent year over year unadjusted. Grocery and beverage stores rose 0.86 percent month over month seasonally adjusted and were up 2.53 percent year over year unadjusted. General merchandise stores were up 0.28 percent month over month seasonally adjusted and up 1.94 percent year over year unadjusted. Electronics and appliance stores saw their sales fall by 0.95 percent month over month seasonally adjusted and down 2.54 percent year over year unadjusted. Decreases were also seen among furniture and home furnishings stores, where sales fell 0.17 percent month over month seasonally adjusted and down 2.57 percent year over year unadjusted.Building and garden supply stores were down 1.31 percent month over month seasonally adjusted and down 2.92 percent year over year unadjusted. Finally, sporting goods, hobby, music, and bookstores were down 2.89 percent month over month seasonally adjusted and down 10.78 percent year over year unadjusted.Shay noted that slower employment growth and record drops in unemployment continue to have a positive effect on the economy. “Even with slower employment growth, unemployment is near historical lows and ongoing job and wage gains, coupled with lower inflation, should keep consumers on solid footing heading into the holiday season,” Shay said. “Lower interest rates take time to trickle down and won’t provide an immediate boost, but should stabilize the economy.”