We use cookies to provide you with a better experience. By continuing to browse the site you are agreeing to our use of cookies in accordance with our Cookie Policy.
  • INDUSTRY PRESS ROOM
  • SUBMISSIONS
  • MEDIA FILE
  • Create Account
  • Sign In
  • Sign Out
  • My Account
Free Newsletters
  • MAGAZINE
    • Current Issue
    • Archives
    • Digital Edition
    • Subscribe
    • Newsletters
  • STRATEGY
  • GLOBAL
  • LOGISTICS
  • MANUFACTURING
  • PROCUREMENT
  • VIDEO
    • News & Exclusives
    • Viewer Contributed
    • CSCMP EDGE 2023
    • Upload your video
  • PODCAST ETC
    • Podcast
    • White Papers
    • Webcasts
    • Events
    • Blogs
      • Reflections
      • SCQ Forum
    • Mobile Apps
  • MAGAZINE
    • Current Issue
    • Archives
    • Digital Edition
    • Subscribe
    • Newsletters
  • STRATEGY
  • GLOBAL
  • LOGISTICS
  • MANUFACTURING
  • PROCUREMENT
  • VIDEO
    • News & Exclusives
    • Viewer Contributed
    • CSCMP EDGE 2023
    • Upload your video
  • PODCAST ETC
    • Podcast
    • White Papers
    • Webcasts
    • Events
    • Blogs
      • Reflections
      • SCQ Forum
    • Mobile Apps
Home » Retail sales rose slightly in August despite “headwinds” of interest and inflation rates

Retail sales rose slightly in August despite “headwinds” of interest and inflation rates

NRF says shoppers were buoyed by job and wage growth, but cautions higher prices could puncture those supports.

nrf Screen Shot 2022-09-16 at 1.27.32 PM.png
September 16, 2022
Supply Chain Quarterly Staff
No Comments

Resilient American consumers kept purchasing retail goods in August despite the pocketbook pressure of rising prices and interest rates, the National Retail Federation (NRF) said today.

The latest statistics show that overall retail sales in August were up 0.3% from July and up 9.1% year over year. That compared with a month-over-month decline of 0.4% and a year-over-year increase of 10.1% in July, according to U.S. Census Bureau numbers.

By another measure, NRF’s own calculation of retail sales – which excludes automobile dealers, gasoline stations, and restaurants to focus on core retail – showed August was up 0.1% from July and up 8% unadjusted year over year. In July, sales were up 0.5% month over month and up 7.2% year over year.

Either way, the news showed that household spending remained steady even as costs continue to rise, NRF Chief Economist Jack Kleinhenz said. But he cautioned that shoppers could eventually hit a limit and begin to scale back their buying patterns. “Consumers continuing to spend more each month points to the benefits of strong job and wage growth and their use of pandemic savings to help handle persistent elevated prices,” Kleinhenz said in a release. “Consumers are showing their toughness, but they have limited options and cannot continue if prices do not begin to soften. This retail sales report comes amid mixed signals from the broader economy that show the headwinds against the consumer are strengthening.”

And consumers dodged a bullet yesterday that could have added even more velocity to those headwinds, when rail companies and labor union leaders worked with the White House to craft a tentative deal to avoid a crippling freight rail strike.

“We are relieved and cautiously optimistic that the potentially devastating rail strike has been averted, and we appreciate the Biden administration’s intervention on behalf of businesses and consumers. We hope railway workers will accept the new terms of the proposed contract,” NRF President and CEO Matthew Shay said in a release.

Altogether, those variables have helped create a confusing mix for economic forecasters as the nation nears its first post-pandemic winter holiday peak season.

“August retail sales show consumers’ resiliency to spend on household priorities despite persistent inflation and rising interest rates. As we gear up for the holiday season, consumers are seeking value to make their dollars stretch,” Shay said. “Retailers have been hard at work managing their supply chains and holiday inventories to provide consumers with great products, competitive prices, and convenience at every opportunity.”

 

E-Commerce Strategy
KEYWORDS NRF - National Retail Federation
    • Related Articles

      NRF: Strong consumer fundamentals counter inflation, interest rates in holiday forecast

      U.S. consumers drove retail sales increase in August, NRF says

      Retail sales drop slightly in February, but long-term outlook stays strong

    Recent Articles by Supply Chain Quarterly Staff

    Logistics Plus arranges gas pipe delivery to war-torn Ukraine

    Raising temperatures of cold storage warehouses would cut emissions, Lineage says

    Schneider Electric aims to decarbonize the semiconductor supply chain

    You must login or register in order to post a comment.

    Report Abusive Comment

    Most Popular Articles

    • Walmart to open fifth “next-gen” fulfillment center in 2026

    • 53% of procurement leaders expect to increase their spending in 2024

    • U.S. faces permanent labor shortage, says University of Tennessee economist

    • Pepsi exec highlights four key structural changes in the supply chain

    • What skills will you need in the Age of AI?

    Featured Video

    Edge2023 innovationtheater here technologies

    CSCMP EDGE 2023 Innovation Theater: Enabling Peak Performance in Last-Mile Delivery Through Private Mapping and Custom Routing - HERE Technologies

    CSCMP EDGE 2023
    At HERE Technologies, we understand the hypercompetitive world of e-commerce, retail, and parcel delivery is increasing in complexity every day. End customers demand ever-increasing delivery performance levels regarding on-time arrivals, flexibility in delivery schedules, pricing and payment options, and more....

    FEATURED WHITE PAPERS

    • Balancing Act: How Freight Brokers Help Shippers Navigate Uncertainty

    • Quarterly Freight Data Report: Q3 2023

    • A Brighter Future: How COVID-19 Continues to Change Freight Procurement Strategies for the Better

    • Five questions to ask before electrifying your indoor forklift fleet

    View More

    Subscribe to Supply Chain Quarterly

    Get Your Subscription
    • SUBSCRIBE
    • E-NEWSLETTERS
    • ADVERTISING
    • CUSTOMER CARE
    • CONTACT
    • ABOUT
    • STAFF
    • PRIVACY POLICY

    Copyright ©2023. All Rights ReservedDesign, CMS, Hosting & Web Development :: ePublishing