After two consecutive months of disappointing sales, it’s obvious which two industries are holding sales figures back. 

Retail spending dropped .5% in June, after a 1% dip in May. But the reality is retail sales would’ve seen a slight increase if not for stagnant totals in the auto and gas industries.

A lack of consumer confidence combined with high unemployment has handicapped the auto industry. Auto sales were down more than 2% in June — a negative trend that may not reverse itself until unemployment rates and consumer confidence start to rebound.

A drop in prices accounted for a 2% dip in the gas industry.

Meanwhile, other retail segments enjoyed a slight boost. Department store sales were up 1.1%, and general merchandise sales rose .2% (after a 1% drop in May).

All told, if not for gas and auto, retail sales would have risen .1% in June.

Source: “U.S. Retail Sales Decline Again in June,” New York Times (via the Associated Press), 7/13/10.

Tags: auto, consumer confidence, gas, handicapped, industries, rates, retail spending, stagnant, unemployment