How Does Retail Sales Affect Stocks & ETFs?

The Advance Monthly Retail Trade Survey measures total receipts at stores selling merchandise to the public. It covers everything from auto dealers to restaurants to e-commerce. The 'control group' (ex-autos, gas, building materials, food services) feeds directly into GDP calculations.

Consumer spending drives roughly 70% of US GDP. Retail sales data is the most direct real-time read on the American consumer. Strong retail data supports consumer-facing stocks; weak data raises recession concerns and can trigger defensive rotations.