January retail sales surge 3.8% as consumers defy inflation

By ANNE D’INNOCENZIO and CHRISTOPHER RUGABER
AP Business Writers

NEW YORK (AP) — Fueled by pay gains, solid hiring and enhanced savings, Americans sharply ramped up their spending at retail stores last month in a sign that many consumers remain unfazed by rising inflation. Retail sales jumped 3.8% from December to January, the Commerce Department said Wednesday, a much bigger gain than economists had expected. Though inflation helped boost that figure, most of January’s gain reflected more purchases, not higher prices. Last month’s increase was the largest since last March, when most households received a final federal stimulus check of $1,400.