The National Retail Federation (NRF) reported that overall retail sales rebounded in July, with the improvement attributed to consumers being enticed by summer sales promotions to buy goods before more tariffs take effect, according to data compiled in the CNBC/NRF Retail Monitor report.
“Consumer spending increased in July, driven by successful summer sales events held by many retailers and shoppers continuing to pull purchases forward ahead of tariffs,” NRF President and CEO Matthew Shay said in a statement. “Month-over-month gains were sizeable against a weaker-than-normal June. We may be seeing growing inflationary impacts from tariffs since recent data shows price increases in commodity goods, particularly non-durables. Even with weaker job growth than many expected, consumers still have the ability to spend on household priorities as wages are growing above the rate of inflation.”
The CNBC/NRF Retail Monitor estimated that total retail sales, excluding automobiles and gas, were up 1.45 percent seasonally adjusted month over month and up 5.89 percent unadjusted year over year in July. That compares with a decrease of 0.33 percent and an increase of 3.19 percent year-over-year in June.
The CNBC/NRF report’s calculation of core retail sales (excluding restaurants, as well as automobile dealers and gas stations) increased by 1.55 percent month over month in July and by 5.93 percent year over year. That compares with a decrease of 0.32 percent month over month and an increase of 3.36 percent year over year in June.
Total retail sales were up 4.83 percent year over year for the first seven months of the year and core sales were up 5.07 percent.
The CNBC/NRF Retail Monitor reports actual, anonymized credit and debit card purchase data compiled by Affinity Solutions, which tabulates its report results without requiring monthly or annual revisions. The Retail Monitor leverages Affinity Solutions’ data from over 140 million credit and debit cards, with nearly nine billion transactions totaling more than $500 billion in annual spending.
NRF reported that July sales increased year-over-year in 10 out of 11 categories, led by Digital Products (e-commerce), Sporting Goods, Hobby, Music & Bookstores, General Merchandise, Clothing & Accessories (including footwear), and Food Services & Drinking Places.
The sector that includes Sporting Goods stores saw near double-digit growth, up 9.9 percent year-over-year after showing gains of 8.5 percent in June, 8.2 percent in May, and 9.2 percent in April.
Growth in the Clothing and Accessories stores sector revived, showing a gain of 6.7 percent after sales had slowed to 2.7 percent in the prior month. General Merchandise, Food Services & Drinking Places, Grocery & Beverage and Health & Personal Care all saw a pickup in sales.
Year-Over-Year Change in Retail Sales, Unadjusted
To download the complete CNBC/NRF Retail Monitor Report for July 2025, go here.
