HMM: US retail sales fall for a 2nd month as consumers pull back.

Retail sales fell 0.2 percent after declining 0.1 percent in May, the Commerce Department said Friday. Spending at retailers has grown 2.8 percent over the past 12 months, a relatively modest pace given that the sales figures aren’t adjusted for inflation.

The decline reflects in part a transformative shift by consumers toward Amazon and other online retailers. Sales at department stores, once the anchors of shopping malls and the pride of local communities, have steadily dwindled. Even former sources of strength in retail, like restaurants and auto dealers, have faced weakening sales.

The spending figures are closely watched because consumers account for roughly 70 percent of U.S. economic activity. If their spending slows, it can drag down growth across the broader economy.

The U.S. economy has expanded at a tepid annual pace of roughly 2 percent since the Great Recession ended eight years ago.

A “big, big tax cut” sure would be nice about now.