Dive Brief:
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Sales of building materials and garden equipment spiked 6.3% in March when compared with March 2014, the U.S. Census Bureau reported on Wednesday. Between February and March, business in those industries increased by 2.1%.
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Furniture and homes furnishings sales were up by 1.4% from February and by 3.8% since last March, according to the report.
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Overall, consumers stepped up their purchases of cars, furniture, building supplies, clothes, and meals at restaurants in March for the first time since November.
Dive Insight:
The retail rebound is a sign that sluggish first-quarter economic growth was temporary, adding fuel to speculation that the Federal Reserve will raise interest rates before the end of the year.
In addition, an increase in household savings and cheaper gas have combined to put consumers in a position to start spending more—and perhaps to buy homes.