Tariff fears led to a surge in US retail sales during March


    U.S. shoppers increased their buying last month, fueled by a spending spree on big-ticket items from gadgets to cars before President Donald Trump’s expansive new tariffs began kicking in.

    Retail sales rose 1.4% in March, after rising 0.2% in February, according to the Commerce Department. Retail sales fell 1.2% in January, hurt in part by cold weather that kept more Americans indoors, denting sales at car dealers and most other stores.

    Excluding sales at dealers of autos and parts, sales rose only 0.5%.

    Sales at dealers of autos and parts rose 5.3%, while electronics retailers saw a 0.8% increase. Sporting goods retailers enjoyed a 2.4% gain. Grocery stores saw a 0.1% increase and clothing and accessories stores experienced a 0.4% increase. Online retailers posted a 0.1% gain and restaurants witnessed a 1.8% increase. However, furniture and home furnishings stores posted a 0.7% decline.

    “These are simply blowout numbers on March retail sales where the rush is on like this is one gigantic clearance sale,” says Christopher S. Rupkey, chief economist at FWDBonds LLC in a published note. “Consumers are expecting sharply higher prices the next year and are clearing the store shelves and picking up bargains while they can.”

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