Retail Sales Extend Growth Streak for 10th Consecutive Month in July

Retail sales rose again in July, marking the 10th consecutive month of gains, according to the CNBC/NRF Retail Monitor, powered by Affinity Solutions, and released today by the National Retail Federation (NRF). “Retail sales maintained their steady upward momentum in July as consumers kept shopping despite ups and downs in other economic indicators,” NRF President and CEO Matthew Shay says in a release. “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,” he says.

Total retail sales, excluding automobile dealers and gasoline stations, increased 0.32 percent seasonally adjusted month-over-month and 5.15 percent year-over-year in July. That compares with increases of 0.33 percent month-over-month and 9.41 percent year-over-year in June. Core retail sales, which exclude restaurants in addition to auto dealers and gas stations, rose 0.3 percent month-over-month and 4.72 percent year-over-year in July. In June, core sales increased 0.36 percent month-over-month and 10.08 percent year-over-year. Through the first seven months of 2026, total retail sales were up 6.57 percent year-over-year, while core sales increased 6.53 percent.

July sales increased year-over-year in seven of nine categories, led by electronics and appliance stores, digital products, and health and personal care stores. Sales increased month-over-month in five of nine categories.

Key category results included:

• Electronics and appliance stores: Down 0.05 percent month-over-month; up 12.04 percent year-over-year.
• Digital products: Up 1.21percent  month-over-month; up 12.02 percent year-over-year.
• Health and personal care stores: Up 0.53 percent month-over-month; up 10.07 percent year-over-year.
• General merchandise stores: Up 0.47 percent month-over-month; up 8.3 percent year-over-year.
• Clothing and accessories stores: Up 0.51 percent  month-over-month; up 6.55 percent  year-over-year.
• Grocery and beverage stores: Up 0.46 percent month-over-month; up 4.52 percent year-over-year.
• Furniture and home furnishings stores: Down 0.04 percent month-over-month; up 2.71 percent year-over-year.
• Building and garden supply stores: Down 0.17 percent month-over-month; down 1.2 percent year-over-year.
• Sporting goods, hobby, music and book stores: Down 0.47 percent month-over-month; down 3.01 percent year-over-year.

Total Retail's Take: July’s results show that consumers continue to spend, but they remain highly value-conscious. The 10th consecutive month of retail sales growth is a positive signal for retailers heading into the critical back-to-school and holiday periods, particularly as low unemployment and steady wage gains continue to support household spending.

At the same time, the slowdown in year-over-year growth from June to July suggests retailers cannot take consumer resilience for granted. Strong gains in electronics, digital products, health and personal care, general merchandise, and apparel point to continued demand for products consumers view as useful, personal or worth the investment. Meanwhile, declines in categories such as sporting goods and building supplies highlight the uneven nature of today's consumer spending.

For retailers, the message is clear: Consumers are still spending, but value matters. Retailers that can combine compelling prices and promotions with strong customer experiences and relevant products will be best positioned to capture discretionary spending through the rest of the year.