U.S. retail sales increased 0.5% in April, partly lifted by higher prices amid the war with Iran boosting energy costs, according to the Commerce Department.
The rise followed a revised 1.6% jump in March. Economists had forecast a 0.5% gain.
Gasoline prices surged 12.3% in April. Larger tax refunds are supporting spending, but the cushion is fading.
PNC Financial data shows lower-income households are spending refunds faster, while inflation outpaces wage growth for the first time in three years.
