U.S. retail sales rebounded in February after suffering a sharp decline in January, showing some strength in the economy after severe winter weather abruptly slowed activity in recent months, the government reported Thursday. The Commerce Department said retail sales increased 0.3 percent last month as shoppers spent more on autos, clothing, furniture, and most other categories. Sales had fallen 0.6 percent in January and 0.3 percent in December. So-called core retail sales—which exclude automobiles, gasoline, building materials, and food services, and correspond most closely with the consumer-spending component of gross domestic product (GDP)—rose 0.3 percent, following a 0.6 percent decline in January. Over the past 12 months, retail sales—which account for about 30 percent of consumer spending, or about 20 percent of total U.S. economic activity—have risen a modest 1.5 percent. An unusually cold and snowy winter disrupted economic activity at the end of 2013 and the start of this year. Economists had expected only a marginal increase in retail sales in February after snow and ice covered densely populated regions during the first half of the month. Retail sales are expected to accelerate in the spring as warmer temperatures and improving household finances help to release pent-up demand.
