The bad news, is that the service sector’s growth slowed.

Money quote:

Activity in the service sector improved in February, notably with respect to employment, according to the latest survey by the Federal Reserve Bank of Richmond. Retail sales advanced at a slower pace, although shopper traffic increased. Big-ticket sales remained weak, but pulled back from last month’s sharp drop. Retail inventory accumulation nearly matched January’s rise. Revenues slowed abruptly at non-retail services firms. Retailers expected weak demand for their goods during the next six months. In contrast, non-retail services providers anticipated stronger demand for their services over that period.