Retail Sales Fell in July, Highlighting a Rocky Economic Recovery
E-commerce
July’s spending numbers also likely reflected dampened e-commerce sales, because Amazon’s Prime Day promotions, which can drive online spending in the summer, took place in June this year instead of July. Credit card spending data declined 1.3 percent in July from June, a drop that analysts at Bank of America attributed last week to a fall in online spending.
Sales at nonstore retailers, which include e-commerce businesses, fell 3 percent in July, the Commerce Department said. Sales are shifting month to month as the economy’s unsteady reopening continues.
“It is possible that if the Covid surge continues and consumers remain cautious, we will see a rotation back from people spending outside to spending online,” said Joseph Song, a senior U.S. economist at Bank of America.
Restaurants and bars
Despite concerns that consumers are rethinking their return to in-person shopping and dining as cities and states are forced…
