American consumers began returning to the national pastime in May—going shopping and spending much more money than economists had expected.
The U.S. government’s report on Tuesday morning buoyed Wall Street, which surged 4% on the upbeat news. The 17.7% growth was more than double what economists had forecast and the biggest monthly surge in nearly three decades.
Still, the dramatic increase in retail sales last month over April was largely the result of the cratering in consumer spending that occurred in April, the worst decline on record when, at the height of the lockdowns, most stores were closed across the country.
