Sales excluding autos increased 1.9%, with gasoline prices and higher 2026 tax refunds driving the gains. February and January sales were also revised upward.
Core retail sales, excluding autos and gasoline, rose 0.6%, indicating underlying consumer resilience despite energy price shocks. Tax cuts passed in 2025 contributed to larger refunds, offsetting higher fuel costs.
The strong retail data supports expectations of solid Q1 GDP growth and may influence the Federal Reserve’s policy tone, though no near-term rate change is anticipated amid ongoing inflation and labor market concerns.
Will the 2025 tax cuts offset rising tariff and energy costs for households?
With US inflation surging, why is the Fed's next move still considered a potential rate cut?
Are central banks losing their power to control inflation driven by global supply shocks?
How are businesses adapting supply chains for an era of sustained geopolitical risk?
Is the global central bank 'wait-and-see' strategy a policy error risking higher inflation?
Could the Hormuz crisis permanently reshape global trade routes and energy dependencies?