US retail sales rose 0.6% m/m in July

US retail sales rose 0.6% m/m in July, on par with the median consensus forecast of surveyed economists. Revisions to the month prior brought June's initial decline of -0.6% m/m up to a flat reading to two decimal points (0.00% m/m). After excluding sales of autos, gasoline and building materials, the control group - the measure which drives many of the BEA's consumer spending metrics - rose by 0.3%. This was slightly lower than expected (consensus: +0.5% m/m), but a decent number nonetheless. Moreover, the initial June reading of -0.1% m/m was revised higher to a much more respectable gain of +0.2% m/m.

Sales were strong across the board, with 11 out of 13 major sub-categories recording gains on the month. The largest gains were concentrated in non-store retailers (+1.5% m/m), motor vehicles & parts (+1.4% m/m), sporting goods (+0.9% m/m), building materials (+0.7% m/m), and food & services (+0.7% m/m). Sales at gasoline stations also rose (+0.4% m/m), though at a slower pace than the 3.9% m/m and 1.8% m/m gains recorded in May and June, respectively - largely due to price effects with gasoline prices falling 0.1% in July after strong gains over previous two months. Declines were reported only in sales at electronics stores (-1.2% m/m) and general merchandise retailers (-0.5% m/m).