NEW YORK (AP) – Target is canceling orders from suppliers, particularly for home goods and clothing, and it’s slashing prices further to clear out amassed inventory ahead of the critical fall and holiday shopping seasons. The actions come after a pronounced spending shift by Americans, from investments in their homes to money spent on experiences like travel, and nights out for dinner and other pre-pandemic routines. Shoppers are also focusing more on non-discretionary items like groceries as inflation makes them more selective. That’s a change that arrived much faster than major retailers had anticipated. The speed at which Americans pivoted away from pandemic spending was laid bare in the most recent quarterly financial filings from a number of major retailers.
Photo: FILE – The bullseye logo on a sign outside a Target store is seen on Feb. 28, 2022. Target’s first-quarter profit took a big hit from higher costs, despite strong sales growth. Target announced Tuesday, July 7, 2022, it is canceling orders from its suppliers, particularly in home and clothing, while slashing prices of goods in a bold move to clear out mounds of unwanted inventory ahead of the critical fall and holiday shopping seasons. (AP Photo/Charles Krupa, File)