US Retail Sales Stall in April as Shoppers Get Choosy

US retail sales slowed in April as consumers spent in moderation and shopped selectively amid high inflation. 

Revenue was flat from the month before, at $705.2 billion — adjusted for seasonal variation — compared to an increase of 0.6% in March, according to data the US Census Bureau released Wednesday. 

“The softer pace of spending is due in part to consumers being selective and prioritizing retail purchases,” said National Retal Federation (NRF) chief economist Jack Kleinhenz. “Yet consumers remain willing to spend, keeping the economy afloat despite fatigue from stubbornly high inflation for services and even higher interest rates.” 

Sales climbed 3% from a year earlier, down from March’s 3.8% year-on-year increase, the NRF noted. 

Part of the slowdown in sales is the result of the Easter holiday falling in April last year, while it took place in March this year. Many consumers increase their purchasing at Easter time as they spend the holiday with friends and family. In addition, April had two fewer weekend days this year compared to last year, the NRF explained. 

April sales were up year on year in only five of the nine retail categories the NRF monitors, compared with six last month. The clothing and accessories segment — which includes jewelry — rose 0.5% compared to March and advanced 2.1% versus the same period a year ago. Online sales saw the largest year-on-year gain, growing 14%, while sporting goods, electronics, furniture and grocery stores fell. 

Image: Shoppers at a mall in New York (Shutterstock)