US consumer spending is losing momentum: The Chicago Fed projects retail and food services sales, excluding autos, fell -0.3% MoM in May. If confirmed, that would be the biggest decline since January 2025 and the 3rd-largest since March 2023. This decrease would follow a +0.7% increase in April and a +1.9% increase in March. After adjusting for inflation, sales are estimated to fall -1.3% in May, the largest monthly drop since at least 2023. That would mark the 7th monthly decline over the last 9 months. American consumers are struggling to keep up with inflation.(The Kobeissi Letter)