• Retail REITs lag behind S&P 500 by about 19 percentage points
  • Avis Budget shares tumble in after-hours trading on guidance

The latest U.S. jobs report laid bare some of the sobering tribulations faced by American retailers: they’ve shed jobs on an annual basis for the first time since 2010, when the sector’s employment was just starting to rebound following the Great Recession.

The challenges are mounting as Amazon.com Inc. continues to grab market share in a secular trend in favor of e-commerce at the same time that cyclical consumption, the engine of U.S. growth, may be sputtering. Big-ticket spending items like autos have seen a marked slowdown in sales during 2017. And even maintaining the current pace of spending growth could prove difficult for U.S. consumers: the household savings rate is at a nine-year low.

“Weak consumption, another miss on auto sales and the drop in ISM non-manufacturing sparked another round of concerns that the expected medium-term slowing in consumption may already be materializing,” wrote Andrew Hollenhorst, Citigroup fixed income strategist in New York, referring to the ISM’s gauge of activity in services industries.

Rental-car companies showcase the latest signs of stress about firms that rise and fall on the back of the U.S. consumer — and it appears across different asset classes. Shares of Avis Budget Group Inc. tumbled in…