July’s sales figures have proven to be something of a mixed bag for US retailers. The continued slide in manufacturing has cast a long shadow over the sector at a time when retailers typically cash in on parents buying products for their children before term starts.

Several specialty apparel chains issued results showing significant falls in sales. Pacific Sunwear reported same-store sales down 5.3% in July, while Abercrombie & Fitch suffered a 14% drop.

The athletic footwear sector was one of the bright spots, with signs of recovery: Venator reported second quarter sales up 7.7% while Footstar’s Athletic Division reported same-store sales up 4.7%

Analysts say that parents receiving tax rebates are spending their money in shops, but warn there are fundamental weaknesses in the specialty and department store sectors. Walmart is one company that is expected to perform better than its 3-5% forecast thanks to an aggressive strategy on school products, allowing parents to cash cheques for free in the stores.