10:24 AM EDT, 03/17/2025 (MT Newswires) -- Retail sales in the US rose less than Wall Street's projections amid declines in the motor vehicle and gasoline components, data from the Census Bureau showed Monday.

Sales increased 0.2% in February, following a downwardly revised 1.2% decrease the month before. The latest reading compared with a 0.6% rise expected in a survey compiled by Bloomberg.

Spending on motor vehicles and parts edged down 0.4% sequentially in February, while outlays at gas stations fell 1%, official data showed. Retail sales without the two components improved 0.5%, higher than the Street's view for a 0.4% increase.

"Consumers are clearly becoming more discerning in their spending," BMO Chief US Economist Scott Anderson said in a note.

Spending declines were seen in categories such as electronics and appliance stores, clothing outlets and eating and drinking places. On the other hand, building materials and garden equipment, health and personal care stores and nonstore retailers logged gains.

Consumer spending is expected to be "much softer" for the whole of 2025 amid concerns about an intensifying trade war, which is adding to worries about inflation, TD Economics Economist Ksenia Bushmeneva said in a separate note. "As a result, households' confidence rapidly deteriorated in recent months," Bushmeneva said.

Last week, preliminary results from a University of Michigan survey showed that consumer sentiment slumped in March, while year-ahead inflation expectations reached the highest since November 2022.

Equities markets have been volatile in recent weeks amid US President Donald Trump's tariff plans. Trump last week said the White House will impose a 200% tariff on all alcohol products coming from the European Union if a European tariff placed on US whiskey is not rescinded. Canada and the EU recently announced retaliatory tariffs against the US.