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Why June's Falling Retail Sales Matter

Because drop marks the first 3-month decline since 2008

By the Associated Press

Posted Jul 16, 2012 8:23 AM CDT

(AP) – Americans cut their spending at retail businesses for a third straight month, as a weak job market has made consumers more cautious. The Commerce Department says retail sales fell 0.5% in June from May. That followed declines of 0.2% and 0.5% in the previous two months. It was the first three-month decline in retail sales since the fall of 2008, during the height of the financial crisis. Some of the weakness in recent months reflects falling gas prices. But even excluding sales at gas stations, retail spending fell 0.3% in June.

In this Wednesday, May 30, 2012, photo, shoppers walk through the South Shore Mall in Braintree, Mass.
In this Wednesday, May 30, 2012, photo, shoppers walk through the South Shore Mall in Braintree, Mass.   (AP Photo/Stephan Savoia, File)
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COMMENTS
Showing 3 of 24 comments
LoginsSuck
Jul 16, 2012 10:45 AM CDT
It's been too damn hot to shop, much less leave the house. 
MisterPlinkett
Jul 16, 2012 9:35 AM CDT
what the economy needs is savings...NOT frivolous spending. recession is the medicine. credit is the disease.
chillette
Jul 16, 2012 8:56 AM CDT
Good. It is about time Americans stopped spending so much. These manufacturers and stores should sell their merchandise to the people who make them. Go tell the  Chinese parents making a dollar an hour to buy your crap.

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