Retail sales saw a stronger increase in July amid uplifts in almost every category, as consumers rushed to make purchases before tariffs took place, data from the National Retail Federation (NRF) shows.

Total retail sales, excluding automobiles and gasoline, were up 5.89 per cent year-on-year in July, following a 3.36 per cent growth in June, according to the NRF’s Retail Monitor.

On a seasonally adjusted month-on-month basis, retail sales rose 1.45 per cent in July, reversing the 0.33 per cent decline in June.

Core retail sales, which exclude restaurants in addition to automobile dealers and gasoline stations, rose 1.55 per cent month-on-month and 5.93 per cent year-on-year. 

July sales were up in all but one out of nine categories on a yearly basis. Digital products such as electronic books and games led the trend, with sales soaring 25 per cent, followed by sporting goods and books with a 10 per cent increase.

General merchandise stores and clothing and accessories stores saw growth of nearly 7 per cent, while retailers of grocery and beverage products reported a 5.42 per cent uplift.

Sales of health and personal care, electronics and appliances, and furniture and home furnishings rose between 1.53 per cent and 4.44 per cent. Sales at building and garden supply stores were down 4.11 per cent.

“Consumer spending increased in July, driven by successful summer sales events held by many retailers and shoppers continuing to pull purchases forward ahead of tariffs,” commented NRF president and CEO Matthew Shay.

“We may be seeing growing inflationary impacts from tariffs since recent data shows price increases in commodity goods, particularly non-durables. 

“Even with weaker job growth than many expected, consumers still have the ability to spend on household priorities as wages are growing above the rate of inflation,” Shay added.