Retail sales edged up slightly again in July according to figures released today by the U.S. Department of Commerce. Today's report follows dour news that has circulated from elsewhere across the economy in recent weeks, and shaken confidence in the recovery, noted the Retail Industry Leaders Association (RILA).

Monthly retail sales were up 0.5 percent from June and up 8.5 percent fromJuly 2010. Retail sales excluding auto sales were up 0.5 percent over the previous month and 8.9 percent overJuly 2010.

Sectors such as furniture stores, groceries, clothing stores, and non-store retailers saw higher gains last month, while others struggled to match sales from June. Gasoline sales rose a notable 1.6 percent indicating that consumers continue to spend more on fuel.

"Retailers are adjusting to the new normal, slow, hard-fought gains,"said RILA PresidentSandy Kennedy."A variety of real and perceived obstacles, including disappointingly slow job growth and economic news continues to fluctuate between subdued and chaotic and depress consumer confidence and spending."

It remains unknown how the tense economic debate inWashingtonand recent market volatility will affect the back-to-school shopping season currently underway. Sophisticated systems and lessons learned from recent years have improved inventory planning considerably, however adjusting to unpredictable events as they emerge remains a difficult challenge for retailers to meet.