Retail sales inch up in February as consumers grow cautious

February sales got a boost from online spending, which rose 2.4%.

Consumers are still spending, but at a slower pace compared to recent months.

Core retail sales (excludes automobile dealers, gasoline stations and restaurants) rose 0.9% month-over-month in February, based on data from the U.S. Census Bureau. Sales fell 0.2% year-over-year because of the comparison against unusually high sales in February 2024, according to the National Retail Federation. 

The results come as many of the country’s biggest retailers, including Walmart, have issued cautious to downbeat guidance for the current fiscal year, and as consumer confidence has fallen. 

[READ MORE: Consumer confidence down sharply in February]

Overall retail sales in February were up 0.2% in February, less than analysts expected, and up from January’s downwardly revised 1.2% decline.

February sales got a boost from online spending, which rose 2.4%. Sales at health and personal care stores increased 1.7%. Sales declined the most at department stores (-1.7%), restaurants and bars (-1.5%) and at gasoline stations (-1%).