US consumer spending remained robust in July as retail sales rose 0.5% from the prior month, matching economists’ estimates. The Commerce Department also revised June’s increase to 0.9% from 0.6%. Excluding autos, sales climbed 0.3%, while the so-called control group that feeds into GDP advanced 0.5%. On a year-over-year basis, overall sales were up 3.9%, helped by back-to-school demand and major online promotions. Other US data were mixed. Import prices jumped 0.4% on the month—the biggest rise since April 2024—though they remained 0.2% lower than a year earlier. Industrial production slipped 0.1% in July and capacity utilization edged down to 77.5%. In contrast, the New York Fed’s Empire State Manufacturing Index surged to 11.9, its second-strongest reading this year, pointing to resilience in regional factory activity. Across the Pacific, China’s economy showed fresh signs of strain. Industrial output in July expanded 5.7% from a year earlier, the slowest pace since November, while retail sales grew 3.7%, also missing consensus forecasts. The National Bureau of Statistics said the export sector is ‘under pressure amid external uncertainties,’ adding to deflationary concerns and intensifying calls for additional policy support. The divergent data underscore a global economy pulled in opposite directions: solid US household demand is offsetting softness in domestic manufacturing, whereas China is grappling with weaker consumer spending and trade-related headwinds. Economists say Beijing may have to introduce further stimulus while US policymakers watch for signs that tariffs are filtering through to prices and production.