Record slump in US retail sales revealed following Covid-19 shutdown

Restaurateurs were among those to feel the pinch.
Record slump in US retail sales revealed following Covid-19 shutdown

US retail sales tumbled by a record 16.4% from March to April as business shutdowns caused by Covid-19 kept shoppers away, threatened stores across the country and weighed down a sinking economy.

The Commerce Department’s report on retail purchases showed a sector that has collapsed so quickly that sales over the past 12 months are down a crippling 21.6%.

A closed Toys R Us building in Des Moines, Iowa (Charlie Neibergall/AP)
A closed Toys R Us building in Des Moines, Iowa (Charlie Neibergall/AP)

A long-standing migration of consumers toward online purchases is accelerating, with that segment posting a 8.4% monthly gain.

Measured year over year, online sales surged 21.6%.

“It’s like a hurricane came and levelled the entire economy, and now we’re trying to get it back up and running,” said Joshua Shapiro, chief US economist for the consultancy Maria Fiorini Ramirez.

Mr Shapiro suggested that retail sales should rebound somewhat as states and localities reopen their economies.

But he said overall sales would remain depressed “because there is going to be a big chunk of the lost jobs that don’t come back”.

more articles

Leo Varadkar still has ‘some’ texts from pandemic period Leo Varadkar still has ‘some’ texts from pandemic period
Taoiseach visit to the US Leo Varadkar still has ‘some’ texts from covid pandemic period
Nolan says lessons need to be learned from Covid inquiry Nolan says lessons need to be learned from Covid inquiry

More in this section

FILE PHOTO The Competition and Consumer Protection Commission has cleared the purchase of Goodbody Stockbrokers by AIB END Goodbody Stockbrokers fined over €1.2m by Central Bank over rules breaches
Nottingham City Centre Stock Irish staff at the Body Shop wait for wages as retailer shuts stores in the Republic
Ryanair comments on Norwegian Ryanair boss O'Leary's spat with Transport Minister over Dublin Airport escalates
IE logo
Devices


UNLIMITED ACCESS TO THE IRISH EXAMINER FOR TEAMS AND ORGANISATIONS
FIND OUT MORE

The Business Hub
Newsletter

News and analysis on business, money and jobs from Munster and beyond by our expert team of business writers.

Sign up
ie logo
Puzzles Logo

Play digital puzzles like crosswords, sudoku and a variety of word games including the popular Word Wheel

Lunchtime News
Newsletter

Keep up with the stories of the day with our lunchtime news wrap.

Sign up
Cookie Policy Privacy Policy Brand Safety FAQ Help Contact Us Terms and Conditions

© Examiner Echo Group Limited