Retail sales dropped in May, except for online and certain categories, impacting GDP calculations.

From Nasdaq: 2025-06-19 08:00:00

Consumer spending dropped in May, with retail sales falling by 0.9%, surpassing the expected 0.6% decrease. Excluding auto sales, retail figures saw a 0.3% decline, while a focused measure excluding volatile categories showed a 0.4% gain, impacting GDP calculations. Anxiety over tariffs led to selective spending, especially on big-ticket items.

Online sales, like non-store retailers, saw a 0.9% increase sequentially and an 8.3% yearly gain. Stocks like ProShares Online Retail ETF (ONLN) and Amazon.com (AMZN) could benefit. Clothing stores experienced a 0.8% sequential sales increase, with SPDR S&P Retail ETF (XRT) and Urban Outfitters (URBN) highlighted as potential winners.

Miscellaneous store retailers recorded a 2.9% sequential and 7.5% yearly sales increase. VanEck Retail ETF (RTH) and Five Below (FIVE) are potential beneficiaries. Furniture and home furnishing stores saw a 1.2% sequential and 8.8% yearly sales increase, with iShares U.S. Consumer Focused ETF (IEDI) and Home Depot (HD) identified as possible winners.



Read more at Nasdaq: 4 ETF Areas to Win Amid Slowing Retail Sales in May