A wave of U.S. retailers delivered stronger-than-expected second-quarter results and lifted their 2025 guidance this week, suggesting consumer spending remains resilient despite inflation and the recently imposed 145% tariff on Chinese goods. Kohl’s led the sector’s gains, reporting earnings of $1.35 a share on revenue of $3.35 billion—both well above consensus forecasts. The department-store chain narrowed its anticipated full-year sales decline to 5%–6% from as much as 7% and raised its operating-margin target to as high as 2.7%, moves that sent the stock up about 22%. Management credited tighter inventories, expense cuts and a refreshed merchandise mix for the turnaround. Urban Outfitters followed with record revenue of $1.50 billion, up 11.3%, and profit of $1.58 a share. Comparable retail sales climbed 5.6% and its Nuuly clothing-rental business expanded 53%, giving all five of the company’s brands positive comparable sales for the quarter. Dick’s Sporting Goods posted net sales of $3.6 billion and adjusted earnings of $4.38 a share, then raised its full-year comparable-sales outlook to 2%–3.5% and earnings forecast to as much as $14.50 a share. The sporting-goods chain cited a 5% same-store-sales increase and margin gains as it prepares to close a $2.4 billion acquisition of Foot Locker. Off-price and value-focused chains added to the upbeat tone. Dollar General, Burlington Stores, Ollie’s Bargain Outlet and Victoria’s Secret each topped profit estimates and, except for Bath & Body Works, raised at least part of their full-year outlooks. The broad-based beats underline continued demand for beauty products, athletic gear and discounted merchandise as shoppers look for value heading into the holiday season.