WASHINGTON: US retail sales rose modestly in January, evidence that Americans kept shopping despite sharp drops in stock prices. The Commerce Department said on Friday that retail sales increased a seasonally adjusted 0.2 per cent last month, the same as in December. Excluding the effect of falling gas prices, sales rose 0.4 per cent. Sales in December were revised higher from an initial estimate of a 0.1 per cent drop. Steady hiring and early signs that employers are finally handing out higher wages means that Americans have more money to spend.