The retail-sales report for June contains two bits of information that aren’t great for New York.
First, luxury goods are back to big double-digit sales declines. Sales at Neiman Marcus and Bergdorf fell nearly 21 percent. Saks did better, with a more than 4 percent decline, but, the New York Times observes, that’s because they had a big sale in June.
The luxury slump’s persistence means that rich people still aren’t feeling very rich — which means that they’re also likely uninterested in paying the higher taxes that they now must shoulder for the privilege of living in our expensive state.
Second, sales at Abercrombie and Fitch were down 32 percent. The problem for New York?
European and Asian tourists are obsessed with Abercrombie and Fitch — the British line up outside. A&F’s huge declines are yet another indication that the Europeans aren’t coming here, and that the ones who are coming aren’t buying stuff.
Though New York needs all of its tourists, including those who take the Bolt Bus, historically the people who take the big planes across the oceans have spent more while they’re here.
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