US retail sales slowed in June to a halt except for continued growth in car sales.
Retail and food services sales rose 0.4 per cent from May, compared with a 0.5 per cent gain the prior month, the Commerce Department said on Monday.
Analysts had expected a gain of 0.7 per cent.
The rebounding car industry was the strongest sign of life in retail sales, a key component of consumer spending that drives the bulk of the US economy.
Auto sales rose 1.8 per cent from May, including a 2.1 per cent increase in sales at dealerships.
Excluding motor vehicle and parts sales, retail sales were flat.
"June retail sales puts spending on a weaker trajectory heading into the third quarter. This is troubling, as the consumer has been shouldering the recovery this year," said Ryan Sweet of Moody's Analytics.
The analyst said a key source of concern was that June's gain was concentrated in auto sales, typically an occasional purchase.
Furniture and home furnishing sellers had the biggest gain, with sales up 2.4 per cent from May, followed by "nonstore" online retail sales, up 2.2 per cent.
Miscellaneous retailers suffered the largest drop in sales, 2.5 per cent. Sales at building material and garden supplies stores fell 2.2 per cent.
Americans slashed spending at restaurants and bars by 1.2 per cent, double the drop in May.
They also spent slightly less at grocery stores as they shelled out more for petrol, where rising pump prices pushed sales up 0.7 per cent, compared with a 0.4 per cent rise the previous month.
Despite the lacklustre June reading, on a 12-month basis retail sales continued to show strength.
Retail sales were up 5.7 per cent from June 2012. In the April-June quarter, sales were 4.6 per cent higher from a year ago.
Auto sales were up 12.9 per cent from last year, while online retailers saw a 13.8 per cent rise in sales.
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