Retail spending continued to grow in August as consumers stocked up on school supplies and tried to get ahead of rising tariffs that already might be affecting prices, according to the CNBC/NRF Retail Monitor report released by the National Retail Federation.
According to the United States Bureau of Labor Statistics, the Consumer Price Index increased 0.4% on a seasonally adjusted basis in August, after rising 0.2 percent in July. With the August increase, the CPI annual increase rate rose to 2.9% from 2.7% in July.
Total retail sales, excluding automobiles and gasoline revenues, gained 0.5% seasonally adjusted month over month and 6.81% unadjusted year over year in August, according to Retail Monitor. The August figures compared with increases of 1.45% month over month and 5.89% year over year in July.
The Retail Monitor calculation of core retail sales, which excludes restaurants in addition to automobile dealers and gasoline stations, advanced 0.26% month over month in August and 6.67% year over year. In July, core retail sales were up 1.55% month over month and 5.93% year over year.
Total sales increased 5.08% for the first eight months of the year versus the 2024 period, and core sales were up 5.27%.
Sales by channel, were, NRF stated:
- General merchandise stores were up 0.39% month over month, seasonally adjusted, and up 7.63% year over year, unadjusted.
- Furniture and home furnishings stores were up 0.23% month over month seasonally adjusted and up 3.07% year over year unadjusted.
- Building and garden supply stores were down 2.13% month over month seasonally adjusted and down 7.77% year over year unadjusted.
- Electronics and appliance stores were down 0.28% month over month seasonally adjusted and up 3.57% year over year unadjusted.
- Health and personal care stores were down 0.07% month over month seasonally adjusted and up 3.25% year over year unadjusted.
- Grocery and beverage stores were up 0.98% month over month seasonally adjusted and up 7.17% year over year unadjusted.
- Sporting goods, hobby, music and book stores were down 0.82% month over month seasonally adjusted and up 8.96% year over year unadjusted.
- Clothing and accessories stores were up 0.2% month over month seasonally adjusted and up 8.26% year over year unadjusted.
- Digital products such as electronic books and games were up 1.58% month over month seasonally adjusted and up 25.98% year over year unadjusted.
“Consumer spending rose again in August, fueled by a still-stable consumer and a robust back-to-school shopping season,” NRF President and CEO Matthew Shay said. “Spending was supported by lower fuel costs, tax-free holidays and consumers buying products before tariff increases take effect. We may be seeing inflationary impacts from tariffs since recent data shows price increases in commodity goods. Even with weaker job growth than many expected, employment remains stable and at a high level, giving consumers the ability to spend thoughtfully on household priorities. Nonetheless, consumers are preserving spending power by cutting back on less-essential services.”
Unlike survey-based numbers collected by the United States Census Bureau, Retail Monitor uses actual, anonymized credit and debit card purchase data compiled by Affinity Solutions that does not need monthly or annual revision, NRF noted.
