Retail sales increased 1.2% in July, the U.S. Census Bureau reported Friday, a record high but a deceleration from the stronger recovery seen in recent months.
Economists had projected a 2% increase.
Sales had seen major month-over-month increases earlier in the late spring as retailers began recovering from the collapse in shopping during the onset of the pandemic.
The decrease in sales in July from prior months came as several states experienced spikes in coronavirus infections and shuttered much of their economies to slow the spread of the disease.
Retail sales, excluding food service, were up just 0.8% from last month, but nearly 6% higher from July last year.
Grocery store sales also increased by a little, with just a 0.4% lift from June. Still, sales in the sector were 10.6% above July 2019.
Customers did frequent bars and restaurants last month as food services and drinking places saw a 5% increase in sales from June. Also, gas station sales in July surged 6.2% when compared to June. However, sales for both these sectors are off from last year, 18.9% and 15.6% respectively.
The sporting goods, hobby, musical instrument, and book stores sector fared the worst last month, with sales contracting 5% when compared to June.
