the recovery in retail sales last month was led by a 441 percent acceleration in sales at auto dealershipswashington us retail sales increased by the most on record in may after two straight months of sharp declines as businesses reopened offering more evidence that the recession triggered by the covid19 pandemic was over or drawing to an end the report from the commerce department on tuesday followed news early this month that the economy created 25 million jobs in may layoffs are also ebbing and manufacturing activity is improving though production remains at very low levels the surge in retail sales last month recouped 63 of march and aprils decreases but the journey to recovery could be long and difficult as some parts of the country are experiencing a resurgence of covid19 infections in addition enhanced federal government unemployment checks will run out in july advt federal reserve chair jerome powell told us lawmakers on tuesday that until the public is confident that the disease is contained a full recovery is unlikely retail sales jumped 177 last month the biggest advance since the government started tracking the series in 1992 sales dropped a record 147 in april economists polled by reuters had forecast retail sales would rise 8 in may retail sales fell 61 on a yearonyear basis in may even with mays surge sales were still about 8 below their february level leaving consumer spending and the economy on track for their biggest contraction in the second quarter since the great depression the economy slipped into recession in february the economy and retail sales have hit the bottom in may and we have a vshaped first stage of recovery said sung won sohn a business economics professor at loyola marymount university in los angeles however it will take quite some time to get back to anywhere near the levels of retail sales and economic activity we enjoyed around the turn of the year the reopening last month of nonessential businesses that were shuttered in midmarch to slow the spread of covid19 has seen americans flocking to car dealerships and spending more on gasoline apparel and at restaurants though nearly 20 million people have lost their jobs to the pandemic record savings and the governments historic fiscal package of nearly 3 trillion are providing a cushion for consumers through onetime 1200 checks and generous unemployment benefits the unprecedented economic upheaval saw personal savings increasing at a record 337 billion in april and the saving rate hitting an alltime high of 33 advt manufacturing stabilizing the recovery in retail sales last month was led by a 441 acceleration in sales at auto dealerships receipts at service stations increased 128 sales at electronics and appliance stores soared 505 receipts at clothing stores rebounded 188 last month still clothing store sales remained about 63 below their february level sales at furniture stores soared 897 receipts at restaurants and bars advanced 291 spending at hobby musical instrument and book stores vaulted 882 all