U.S. retail sales rise 1.1% in February

Americans stepped up spending on retail goods in February, evidence that a stronger job market is boosting the economy.

Consumers bought more autos, clothes and appliances. They also paid higher prices for gas.

Retail sales increased 1.1 percent last month, the Commerce Department said Tuesday. It was the biggest gain since September. The government also revised up the previous two months.

Some economists said the February increase and the revisions could lead to faster economic growth.

"We believe that the consumer is in better shape than recent downbeat commentary from Fed Chairman [Ben] Bernanke," said John Ryding and Conrad DeQuadros, analysts with RDQ Economics, in a note to clients.

One factor driving the retail sales increase was a 3.3 percent rise in gasoline sales last month. It was the biggest increase in nearly a year and reflected a surge in gas prices.

Still, retail sales increased a solid 0.8 percent after excluding gas station sales.

Auto sales rose 1.6 percent. Department stores increased 1.5 percent. And sales at appliance and electronics stores climbed 1 percent.

Total sales reached a record $407.8 billion.