Retail sales in the United States increased again in May, according to the latest CNBC/NRF Retail Monitor, signalling continued resilience in consumer spending despite ongoing economic uncertainty.
The data, based on credit and debit card transactions, indicates that demand across key retail categories remained stable compared with April, reinforcing expectations that household consumption is still supporting broader economic activity.
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The National Retail Federation (NRF) said the monthly increase points to “consistent underlying demand” even as shoppers remain sensitive to price pressures and shifting economic conditions.
The Retail Monitor is widely used by industry analysts as a near real-time indicator of spending trends in the US retail sector.
Clothing and online growth
The May increase was driven in part by stronger activity in discretionary categories, particularly apparel and online retail channels. Clothing sales have remained a closely watched indicator, as they tend to reflect consumer confidence and willingness to spend beyond essential goods.
E-commerce platforms continued to play a significant role in overall retail performance, reflecting the structural shift towards digital shopping.
Retailers with strong omnichannel operations—combining physical stores with online fulfilment—are reported to be maintaining more stable sales patterns than those reliant on a single channel.
Food, health and essential goods also continued to contribute to overall gains, suggesting that spending growth was not limited to non-essential categories. Analysts note that this balance between discretionary and essential spending often signals a more stable consumption environment.
Consumer resilience signals
The continued rise in retail sales comes at a time when households are managing higher borrowing costs and uneven inflation trends across categories.
Despite these pressures, consumer spending has remained broadly positive, with retail activity holding up better than some earlier forecasts had suggested.
Industry commentary accompanying the Retail Monitor highlights that spending behaviour is increasingly selective. Consumers are comparing prices more actively, trading down in some categories while still maintaining spending in others. This pattern has been especially visible in sectors such as general merchandise and apparel.
The NRF has previously emphasised that retail activity is closely tied to labour market conditions, noting that employment stability has helped support household purchasing power.
While growth is not uniform across all categories, the overall direction continues to point to steady demand rather than contraction.
Outlook for summer retail
Looking ahead, retailers are preparing for a critical summer trading period, which will offer further insight into whether the current spending pattern can be sustained.
Seasonal demand, promotional activity and potential shifts in inflation will all play a role in shaping performance over the coming months.
Supply chain conditions remain broadly stable compared with recent years, allowing retailers to plan inventory more predictably. However, businesses continue to monitor cost pressures and consumer sentiment closely, particularly in non-essential segments where demand can change quickly.
The latest Retail Monitor reading suggests that US consumer spending is still providing a key pillar of support for the retail sector.
Whether this momentum continues into the second half of the year will depend on wage growth, inflation trends and household confidence in the wider economic outlook.
