The WSJ details:
U.S. retail sales tumbled a second straight time in June, falling more than expected in a sign consumer spending is slowing and draining steam from an economy saddled with high joblessness. Sales decreased 0.5%, the Commerce Department said Wednesday. Economists surveyed by Dow Jones Newswires had forecast a 0.3% decline.Looking at the components of the release, we see an interesting bifurcation...
The report was mixed, with some merchants reporting increases and others recording decreases. Excluding auto and gas sales, retail sales rose 0.1%. The bigger-than-expected drop in the headline number followed an upwardly revised 1.1% drop in May. Originally, May sales were estimated falling 1.2%.
Retail sales is a pivotal indicator of consumer spending, which makes up much of economic activity in the U.S. The second decline in a row dealt a blow to an economy with an unemployment rate of 9.5%, and will increase concerns about the recovery.
- Autos (data which was already available comparing the strength in June to May)
- Gas (a function of the decline in the price of oil)
- Furniture / building materials (crash in new home sales)
- Sporting Goods (no clue)
- Electronics (iPhone?)
- Health stores
- Restaurants (a good sign?)