WASHINGTON—U.S. retail sales fell more than expected in March as consumers cut back on purchases of motor vehicles and other big ticket items, suggesting that the economy was losing steam at the end of the first quarter because of higher interest rates.
Retail sales dropped 1.0 percent last month, the Commerce Department said on Friday. Data for February was revised up to show retail sales falling 0.2 percent instead of 0.4 percent as previously reported. Economists polled by Reuters had forecast sales slipping 0.4 percent, with estimates ranging from a 0.3 percent gain to a 1.5 percent decline.Retail sales are mostly goods, which are typically bought on credit, and are not adjusted for inflation. The second straight monthly decrease followed a sharp surge in January.
