Consumer spending unexpectedly slowed last month as an increasing number of Americans adjusted their purchases in response to dwindled savings and higher debt burdens. Retail sales rose by just +0.1% in May, below the +0.4% median forecast, while previously reported April sales were revised downward from unchanged to -0.2%. Motor vehicle sales, which account for nearly 20% to the overall number, were one of just a few strong categories last month as the +0.8% increase added 0.16 percentage points. When the volatile auto category is excluded, sales were negative for the second straight month.

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