Americans shrugged off high gasoline prices in March and spent more strongly than expected, suggesting economic growth in the first quarter was probably not as weak as many had feared.

Retail sales increased 0.8 per cent, the commerce department said yesterday, after rising 1 per cent in February. Last month’s gains beat economists’ expectations for only a 0.3 per cent rise and indicated sturdy consumer spending in the first three months of 2012.

Consumer spending accounts for more than two-thirds of US economic activity. – (Reuters)