For the fourth straight month, Americans continued to pump money into the U.S. economy in April. Retail sales – a measure of spending at stores, online and in restaurants – rose a seasonally adjusted 0.9% last month.
Retail sales aren’t adjusted for inflation. This means that while consumers have continued to spend more, they are getting less due to rapidly rising prices.
Consumers spent more at restaurants and bars and boosted expenditures on cars, furniture, clothing and electronics. They cut spending sharply on gasoline in April as pump prices as pump prices did pull back briefly.
Consumers are continuing to shift spending to services from goods as a winter surge of Covid-19 cases fade and many people resume in-person activities. JPMorgan Chase & Co.’s tracker of credit transactions showed that consumer spending at restaurants and on entertainment picked up in early May.
Stephen Purrell, interim chief financial officer at Six Flags Entertainment Corp said ” Now you see kind of a reversal of that and people wanted to get back out and enjoy experiences, and we don;’t think that’ll change” after many people earlier in the pandemic focused more of their spending at home.