U.S. retail sales took a surprising turn upward during March, while business inventories increased again in February.
Retail sales increased by 0.2%, the U.S. Commerce Department said Monday. Sales went down a revised 0.4% in February.
Excluding sales of gasoline stations, which were helped by high energy prices, retail sales didn’t budge in March.
Economists had estimated a 0.1% decrease in overall March retail sales. Consumer spending makes up about 70% of gross domestic product, the broad measure of economic activity in the U.S.
Today’s retail data showed U.S. sales of automobiles and parts rose by 0.2% in March. February sales had fallen 1.2%. Sales of all other retailers excluding auto and parts dealers increased in March by 0.1%; economists expected a 0.1% increase. Ex-auto sales in February had gone 0.1% lower, revised from a previously estimated 0.2% decrease.
March gasoline station sales increased by 1.1%. Gas sales fell 0.5% in February. Stripping away sales at gas stations, demand at all other retailers was flat in March.
In a separate reading, U.S. business inventories grew again in February, while demand plunged.
Inventories increased by 0.6% to a seasonally adjusted US$1.468 trillion, the U.S. Commerce Department said today. Inventories in January rose a revised 0.9%; originally, January stocks were seen up 0.8%.
Wall Street was looking for stockpiles to move 0.6% higher during February.