WASHINGTON — U.S. core retail sales continued to grow in May, signaling consumer resilience amid ongoing tariff uncertainty, according to the latest data from the U.S. Census Bureau. The National Retail Federation (NRF) reported that consumers maintained steady spending in essential retail sectors despite a slight dip in overall retail activity.
“We’re continuing to see growth for core retail sales this year at about the same pace as last year,” NRF Chief Economist Jack Kleinhenz said. “Despite a soft labor market, aggregate consumer spending has been supported by wage gains and an improvement in the stock market. Consumers are seeing their way through the uncertainty with trade policies, but I expect the inflation associated with tariffs to be felt later this year. Consumers remain very price sensitive, and those costs are likely to weigh heavily on consumer budgets.”
The Census Bureau’s figures showed total retail sales in May down 0.9% seasonally adjusted from April but up 3.3% year over year. By contrast, NRF’s core retail measure — which excludes auto dealers, gas stations, and restaurants — rose 0.1% month over month and 3.9% year over year. On a three-month moving average, core retail sales climbed 4.4% over the same period in 2024.
The findings align closely with last week’s CNBC/NRF Retail Monitor, powered by Affinity Solutions, which showed core retail sales up 0.23% month over month in May and up 4.2% year over year. While those figures suggest solid momentum, growth rates were down from April, when sales rose 0.9% month over month and 7.11% year over year.
MMR
As global trade policy remains in flux, the NRF continues to monitor inflationary trends linked to tariffs and advocate for policy solutions supporting retailers and consumers.
