Retail sales showed signs of recovery in February, according to a new report from the National Retail Federation that revealed February retail sales showed a sharp improvement over January, which came in flat. 

“Retail sales rebounded in a solid fashion in February, showing the consumer is still spending and pointing to underlying strength in the economy,” National Retail Federation chief economist Jack Kleinhenz said.

According to new data from the Census Bureau, February retail sales were up 0.6 percent seasonally adjusted from January and up 1.5 percent unadjusted year over year. That compared with a 1.1 percent month-over-month decrease and no year-over-year change in January.

Kleinhenz said, “These results indicate that the economy is continuing to expand in the first quarter despite tight credit conditions and still-elevated inflation. Job gains, wage increases and continued GDP growth are supporting household spending. Spending on services remains elevated while spending on goods has softened, but both sectors are still growing.”

Overall retail sales, excluding automobile dealers, gasoline stations and restaurants, were up 0.2 percent seasonally adjusted from January and up 5.5 percent unadjusted year over year. Core retail sales were up 3.5 percent unadjusted year over year on a three-month moving average as of February.

Meanwhile, February sales showed that consumer confidence continues to grow. A joint report from CNBC/NRF Retail Monitor, powered by Affinity Solutions, reports that February sales showed retail sales were up 0.95 percent seasonally adjusted from January and up 6.69 percent unadjusted year over year. 

With the adjustment of the leap year, these figures change slightly, with gains of 0.27 percent and 2.99 percent.

Positive gains were seen in several industries, including online and other non-store sales that were up 0.8 percent month over month seasonally adjusted and up 18.08 percent year over year unadjusted. Sporting goods, hobby, music and book stores sales rose 2.29 percent month over month seasonally adjusted and were up 13.67 percent year over year unadjusted.

Health and personal care stores were up 0.96 percent month over month seasonally adjusted and up 11.18 percent year over year unadjusted.