Retail sales rise 0.5% in March amid soaring inflation

NEW YORK (AP) — Retail sales rose modestly in March, but higher prices for food, gasoline and other basics took a big share of consumers' wallets.

Retail sales increased 0.5% after registering a revised 0.8% increase from January to February, reported the U.S. Commerce Department Thursday. Spending has been fueled by wage gains, solid hiring and more money in banking accounts. January’s increase of 4.9% was the biggest jump in spending since March 2021, when American households received a final federal stimulus check of $1,400. But soaring prices on everything, particularly at the gas pump, are making shoppers choosier about how they spend their money.

Excluding an 8.9% increase at gas stations, overall retail sales slipped 0.3% last month.