Advance estimates of U.S. retail and food services sales came in at $763.7 billion for May 2026, up 0.9% from the previous month and beating market expectations of 0.5%. This followed a gain of 0.4% in April, downwardly revised from 0.5%. On a year-over-year basis, retail sales were up 6.9% from May 2025. Sales at gasoline stations still recorded the largest increase over the month, rising 3.4% in May. Total sales excluding gasoline stations increased by 0.7% from the prior month.
The ABA Office of the Chief Economist views this month’s retail sales report as a reflection of the resilience of U.S. consumers, supported by a relatively healthy labor market. Even though U.S. consumers still face the challenge of elevated inflation, their robust spending should help support the overall economy and corporate profits, as well as demand for both consumer loans and C&I loans.
