The data, released by National Retail Federation (NRF), reported that July’s total retail sales, excluding automobile dealerships and gasoline stations, were up 0.32% on a seasonally adjusted basis from the month before and up 5.15% from July 2025.

Retail Monitor’s measure of core retail sales, excluding auto dealers, gas stations, and restaurants, rose 0.3% month over month in July and increased 4.72% year over year.

In June, it increased 0.36% month over month and 10.08% year over year.

According to NRF president and CEO Matthew Shay, spending in July was driven by midsummer sales and early back-to-school promotions.

“Retail sales maintained their steady upward momentum in July as consumers kept shopping despite ups and downs in other economic indicators. Supported by a low unemployment rate and steady wage gains, households remained budget conscious but took full advantage of midsummer sales and early back-to-school promotions to stretch their dollars. Retailers helped balance budgets by remaining committed to affordability, ensuring that everyday products remain accessible for American families,” Shay said.

On an annual basis, sales in July increased in seven out of nine retail categories, with clothing and accessories stores among recording the strongest growth. On a month-to-month basis, sales rose in five of the nine categories.

During the month, sales in clothing and accessories stores reported a 0.51% increase, with year-on-year growth reaching 6.55%.

Strong gains were seen across most sectors. Electronics and appliance stores posted a 12.04% year-over-year increase, and digital products rose 12.02%. Health and personal care sales were up 10.07% over the year, and general merchandise stores climbed 8.3%.

During the first seven months of the year, total retail sales rose 6.57% compared to the same period last year, while core retail sales increased by 6.53%.