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Though retail sales rose for the 11th straight month in May, rising gas prices and a weak labor market took the steam out of consumer spending, with only a few retail sectors reporting growth.

According to the National Retail Federation (NRF), retail industry sales (which exclude automobiles, gas stations, and restaurants) for May increased 0.1 percent seasonally adjusted from April, and 5.0 percent unadjusted year-over-year.

“Retailers are not surprised to see the momentum in consumer spending slowing, given the lackluster performance of employment and housing,” says NRF President and CEO Matthew Shay.

NRF Chief Economist Jack Kleinhenz adds that “after a string of disappointing government reports relating to economic activity and employment, May’s retail report supports the idea of the economy hitting a soft patch. Though consumers are spending cautiously, we are not seeing them cut out new purchases completely, signaling there is a distinct appetite to spend if economic conditions let them.”

May retail sales released today by the U.S. Commerce Department show total retail sales (which include non-general merchandise categories such as autos, gasoline stations and restaurants) decreased 0.2 percent seasonally adjusted over April and increased 7.8 percent unadjusted year-over-year.

Source: National Retail Federation