— Furniture Today,
WASHINGTON — The National Retail Federation (NRF) said retail industry sales for June rose 6.7% over last year, but were up only 0.2% from May. 


June retail sales released by the U.S. Commerce Department show that total retail sales (which include non-general merchandise categories such as autos, gasoline stations and restaurants) increased 6.2% unadjusted year-over-year and decreased 0.2% seasonally adjusted from May. While industry-related sales paint a somewhat rosier picture than Commerce numbers, it still represents a slight slowing in consumer spending.

While year-over-year increases remain strong, month-to-month gains appear flat. Health and personal care stores showed strong gains, increasing 8.6% unadjusted from last year, while increasing a slight 0.7% seasonally adjusted over May.  Sporting goods, hobby, book & music stores also showed robust growth, increasing 11.3% unadjusted from last June, while increasing a modest 0.4% seasonally adjusted from the previous month.

Clothing and clothing accessories stores, benefiting from the summer heat rose 5.9% unadjusted from last June, while only increasing 0.3% from May. Building material and garden equipment and supplies dealers still showed steady growth, up 8.4% unadjusted from last June. However, seasonally adjusted comparisons from the previous month show a 1.0% decline.

In spite of a slowing housing market, furniture and home furnishings stores remain healthy with a 10.4% increase in sales unadjusted from last year and 1.3% seasonally adjusted increase month-to-month.

“After months of speculation, consumers are beginning to pull back,” said NRF Chief Economist Rosalind Wells. “Retailers can expect the second half of the year to show moderate gains due to the slow down in the housing market and other economic factors such as rising interest rates and higher gas prices.”

According to NRF’s latest Retail Sales Outlook, retail industry sales in the third quarter are expected to increase 5.5%, followed by a gain of 4.6% in the fourth quarter.  Because of the strong first half, even with some deceleration in sales for the balan