By Lucia Mutikani
March 17, 2025 – 7:22 AM PDT
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WASHINGTON (Reuters) – U.S. retail sales rebounded marginally in February as consumers pulled back on discretionary spending, reinforcing the growing uncertainty over the economy against the backdrop of tariffs and mass firings of federal government workers.
Nonetheless, the report from the Commerce Department on Monday suggested that the economy continued to grow in the first quarter, though at a moderate pace. It sketched a picture of a cautious consumer, with sales at restaurants and bars declining.
“This report should alleviate concerns that the economy already is shrinking,” said Samuel Tombs, chief U.S. economist at Pantheon Macroeconomics. “But the risk of much weaker growth, as consumers seek to rebuild a savings buffer in response to concerns about…
