U.S. Retail Sales Hot in June

Overall U.S. retail sales turned in a blistering 5.3 percent increase last month, the International Council of Shopping Centers reported Thursday.

It was the strongest jump in retail sales since May 2004′s 5.7 percent spurt.

The best performing sectors were luxury stores and wholesale clubs, with increases of 8.2 percent and 6.6 percent, respectively.

Department stores posted strong gains of 5.5 percent in June. Apparel chains benefited from the consumer’s need for seasonal attire and saw sales rise 4.7 percent, the strongest segment gain since October 2004. Drug stores sales rose 5.7 percent, discount store sales rose 5 percent and shoe stores posted a 2.4 percent increase.

Furniture stores sales declined 3.3 percent.

Consumers went on a spending spree in June as demand for seasonal goods finally stirred spending, said Michael Niemira, ICSC’s chief economist and director of research.

For July, ICSC expects same-store sales to increase by 4.0 to 5.0 percent, on a year-over-year basis, he added.