U.S. retail sales dropped by the most in nearly two years in January, likely weighed down by frigid temperatures, wildfires and motor vehicle shortages, suggesting a sharp slowdown in economic growth early in the first quarter.

New data out Friday showed retail sales declined more than expected in the first month of 2025. Headline retail sales fell 0.9% in January, more than the 0.2% decline economists had expected, according to Bloomberg data.

With consumer spending making up two-thirds of economic activity in the U.S., the sales numbers indicate potentially weaker growth for the first quarter.