Retail Sales in U.S. Drop Less Than Forecast in Sign of Emerging Recovery

[Purveyor]

Source: BLOOMBERG

By Shobhana Chandra

Oct. 14 (Bloomberg) -- Sales at U.S. retailers fell less than anticipated in September, a sign households will play a greater role in the emerging economic recovery.

The 1.5 percent decrease in purchases followed a 2.2 percent gain the prior month, figures from the Commerce Department showed today in Washington. Sales excluding automobiles climbed 0.5 percent, more than the median forecast of economists surveyed by Bloomberg News.

The broad-based improvement indicates Americans are becoming more confident that the economy is recovering even as job losses persist. The report helps ease concern consumers will retrench as government stimulus, such as the “cash-for- clunkers” plan, fades and joblessness mounts.

“We are seeing decent, encouraging signs from the consumer,” said Stephen Gallagher, chief U.S. economist at Societe Generale in New York. “We are optimistic on 2010, but we need to see employment increase.”



Read more: http://www.bloomberg.com/apps/news?pid=20601087&sid=a.vWWtsydxbQ

[Craftsman]

1. Ok they suck less then we thougth they would

They are still dropping and we are still not seeing new good paying jobs.

[Craftsman]

2. I was in my Great Walmart of China on my way to work this morning

I was talking to the MOD and she told me they were slow on everything but food and winter clothes. And they were talking layoffs right before the Christmas shopping season.

[Warpy]

3. Back to school bargains + C4C brought the numbers up

I'm afraid the positive change isn't going to be permanent, folks, although it's doing lovely things for the stock market today.

Just don't expect it to last. Too many people are hurting and everybody else is frightened the bottom will drop out soon.

People are saving their pennies instead of buying luxuries.

[Lone_Star_Dem]

6. I agree.

Cash for Clunkers was a temporary boon and back to school shopping, while still smaller than usual, is a mandatory expenditure for millions of households.

[WriteDown]

9. I'm curious

C4C was over on 8/24 so it had no effect on Sept sales increasing. And from the article: Sales at automobile dealerships and parts stores plunged 10 percent, the most since August 2005, after the Obama administration’s incentive program expired. Purchases in August jumped 7.8 percent

[WriteDown]

4. Is the key to recovery then....

to just over-predict?

[rfranklin]

7. That's been the Wall Street game for years and years...

Ever notice how the big corporations always beat expectations by one penny?

It is a con game. Where are the jobs?

[kenny blankenship]

10. That's how we do it: guide down. then surprise to the upside. (Cough-Net still down-cough,cough).

But who cares? We beat estimates! Happy Days!

In stats though, 1) publish obviously inaccurate, overly optimistic numbers, then 2) restate next quarter, subtracting the frothy excess of optimism. And 3) don't sweat it at all because the crowd won't notice. They're eagerly awaiting the next batch of swell looking numbers.

[bemildred]

5. So the anticipaters failed to anticipate correctly yet again? nt

[AllentownJake]

8. The spin these guys come up with is absolutely amazing

I think, they believe if they encourage us enough we'll just spend more money.

[cleverusername]

11. Begging the consumer to buy

My inbox is full of emails begging me to buy something. Hurry, they say, offer ends soon. Send this offer to your friends and family, they ask. These businesses can't be doing well.