Retail Sales Up Sharply in February

Washington, DC, March 5, 2010--Retail sales posted their sharpest increase since November 2007, a month before the recession began, according to the International Council of Shopping Centers.

The better-than-expected 3.7 percent gain reported Thursday showed that Americans are still thrifty but are willing to spend for certain higher-end goods.

Consumers "are now starting to go back to where they had typically shopped" before the recession, said Michael Niemira, chief economist at the ICSC, who expected a 2 percent gain. "I'm surprised by the broad strength."

But, he added, there's still uncertainty about whether such a robust pace can be sustained, particularly later this year when the sales figures are being compared with more stabilized spending patterns.

The February report was the third consecutive monthly increase, according to the ICSC.

Stores in malls, which had seen sales plunge as their customers traded down to cheaper options, are starting to bring shoppers back by offering lower-priced or exclusive items.