Thursday, February 29, 2024

US Retail Sales Likely Tumbled In April As Virus Took Hold

US Retail Sales USA They fell a record 16.4% from March to April as coronavirus trade closings kept shoppers at bay, threatened stores across the country, and affected a declining economy.

Retail sales in the United States probably collapsed last month when the coronavirus paralyzed the economy, alienated millions of shoppers, and threatened the future of stores across the country.

The Commerce Department is expected to report Friday that retail purchases fell 11.4% from March to April, according to economists surveyed by data provider FactSet. That would be the steepest month-to-month drop since the government began keeping those records in 1992. And it would add to a 8.4% drop in March.

For a retail sector that is already recovering from consumer migration to online shopping and app-based delivery services, a consecutive free fall in spending represents a serious risk. Department stores like Neiman Marcus and J. Crew have filed for bankruptcy protection. Hotels, restaurants and car dealerships are in danger.

An analysis conducted in April by a group of academic economists found that a one-month shutdown could wipe out 31% of non-retail retailers. A four-month shutdown could force a 65% shutdown.

Teodora Torrendo
Teodora Torrendo
Teodora Torrendo is an investigative journalist and is a correspondent for European Union. She is based in Zurich in Switzerland and her field of work include covering human rights violations which take place in the various countries in and outside Europe. She also reports about the political situation in European Union. She has worked with some reputed companies in Europe and is currently contributing to USA News as a freelance journalist. As someone who has a Masters’ degree in Human Rights she also delivers lectures on Intercultural Management to students of Human Rights. She is also an authority on the Arab world politics and their diversity.

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