US retail sales likely tumbled in April as virus took hold
2 min read
Shoppers walk past a sign encouraging masks at SouthPark Mall, Wednesday, May 13, 2020, in Strongsville, Ohio. Ohio retail businesses reopened Tuesday following a nearly two-month-long shutdown ordered by Gov. Mike DeWine to limit the spread of the coronavirus. (AP Photo/Tony Dejak)
BALTIMORE — U.S. retail sales likely plummeted in April as the coronavirus paralyzed the economy, kept away millions of shoppers, and threatened the future of stores across the country.
The Commerce Department is expected to report Friday that retail purchases plunged 11.4% from March to April, according to economists surveyed by the data provider FactSet. That would be the steepest month-to-month fall since the government began keeping such records in 1992. And it would come on top of an 8.4% drop in March.
For a retail sector already reeling from the migration of consumers to online shopping and to app-based delivery services, a back-to-back free-fall in spending poses a grave risk. Department stores like Neiman Marcus and J.Crew have filed for bankruptcy protection. Hotels, restaurants, and auto dealerships are in danger.
An April analysis by a group of academic economists found that a one-month closure could wipe out 31% of non-grocer retailers. A four-month closure could force 65% to close.
For more news about the novel coronavirus click here.
What you need to know about Coronavirus.
For more information on COVID-19, call the DOH Hotline: (02) 86517800 local 1149/1150.
Read Next
EDITORS’ PICK
MOST READ
Subscribe to INQUIRER PLUS to get access to The Philippine Daily Inquirer & other 70+ titles, share up to 5 gadgets, listen to the news, download as early as 4am & share articles on social media. Call 896 6000.
