Check out the TB2K CHATROOM, open 24/7               Configuring Your Preferences for OPTIMAL Viewing
  To access our Email server, CLICK HERE

  If you are unfamiliar with the Guidelines for Posting on TB2K please read them.      ** LINKS PAGE **

*** Help Support TB2K ***
via mail, at TB2K Fund, P.O. Box 24, Coupland, TX, 78615

ECON Consumers spent more last month
+ Reply to Thread
Results 1 to 2 of 2
  1. #1
    Join Date
    May 2004
    2004 Soviet of Washington

    Consumers spent more last month

    Great start for the week.
    The article is from the CNN Swamp so the spin is obvious, but the facts are still strong.

    'Consumers spent more last month, but ...
    by Paul R. La Monica @lamonicabuzz April 16, 2018: 2:19 PM ET

    Lower retail sales in December, January and February raised fears that the main growth engine of the US economy was finally slowing. But there's good news about American shoppers.

    According to the latest figures from the government, retail sales rose 0.6% from February to March, higher than expected. Sales were up 4.5% from a year earlier.

    Does this mean people no longer have to be concerned about the financial health of American consumers and their willingness to shop until they drop?


    People spent more on an array of things last month. The biggest jump in sales came from the motor vehicle and parts dealers category, where sales rose 2% from February.

    But Michael Gapen, chief US economist at Barclays, noted that the furniture, electronics and health and personal care categories also notched solid gains. He thinks consumers are benefiting from the tax cuts enacted late last year.

    Gapen thinks that consumers now have more money in their pocket because of lower withholding rates — and that Americans will keep spending because of the bigger paychecks.

    Still, there are reasons to remain nervous. Nonstore retailers, a catchall category that includes internet and catalog retailers, enjoyed a strong sales pop last month.

    That largely reflects the rise of Amazon (AMZN), which is one of the reasons some retailers have been forced into bankruptcy. Nonstore retail sales rose 0.8% last month and surged nearly 10% from a year ago.

    Many big American retailers are still struggling to compete with Amazon, as well as Walmart (WMT), which is aggressively boosting its digital operations.

    What do those two retail giants have in common? They offer a lot of bargains. As long as consumers are hunting for discounts and wary of sticker shock, overall retail sales may suffer.

    The biggest problem for retailers may be the fact that, despite a healthy job market, wage gains have been relatively stagnant. Wages rose 2.7% from a year ago in March.

    Most experts think that number needs to be north of 3% before consumers will be truly willing to loosen the purse strings — or, if you prefer a more 21st century reference, unlock their phones.

    "The consumer remains on uncertain footing," Lindsey Piegza, chief economist with Stifel, wrote in a report Monday. Piegza added that Americans need to see "sizable and sustained gains" in wages before that fog of uncertainty will lift.

    In other words, it's probably way too soon to declare that US consumers are going back to their spendthrift ways.
    “Then the creatures of the high air answered to the battle, .., and the woods trembled and the wind sobbed telling them, the earth shook,; the witches of the valley, and the wolves of the forests, howled from every quarter and on every side of the armies, urging them against one another.”
    ― Lady Gregory, Gods and Fighting Men: The Story of the Tuatha De Danaan and the Fianna of Ireland

  2. #2


Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts

NOTICE: Timebomb2000 is an Internet forum for discussion of world events and personal disaster preparation. Membership is by request only. The opinions posted do not necessarily represent those of TB2K Incorporated (the owner of this website), the staff or site host. Responsibility for the content of all posts rests solely with the Member making them. Neither TB2K Inc, the Staff nor the site host shall be liable for any content.

All original member content posted on this forum becomes the property of TB2K Inc. for archival and display purposes on the Timebomb2000 website venue. Said content may be removed or edited at staff discretion. The original authors retain all rights to their material outside of the website venue. Publication of any original material from on other websites or venues without permission from TB2K Inc. or the original author is expressly forbidden.

"Timebomb2000", "TB2K" and "Watching the World Tick Away" are Service Mark℠ TB2K, Inc. All Rights Reserved.