US retail sales beat expectations in June

US retail sales rebounded more than expected in June, pointing to solid consumer demand despite economic challenges.

Retail sales increased 0.6% in June to $720.1 billion, beating forecasts for a 0.2% increase, the Commerce Department's Census Bureau said on Thursday.

The reading follows a revised 0.9% drop in May, while the three-month average through June was 4.1% above the last year-period.

Coinciding with the monthly increase, retail sales grew 3.9% year-on-year (YoY) in June.

Analysts believe part of the June increase may be due to higher prices linked to tariffs rather than stronger sales volumes, Reuters reported.