Consumers Ring Up a Cure for Cabin Fever
News from the retail sector could not have been better for the economy.
While data was sparse this week, news out of the retail sector was truly stunning with 8.7% same-store sales growth in March. Pending home sales also showed a surprising gain. Meanwhile, initial unemployment claims became unintelligible yet again because of a California holiday and funky seasonal adjustment factors.
Given my belief that consumer spending drives the rest of the economy, the news from the retail sector could not have been better. It simply dwarfed all other reports this week.
On the lighter side, Morningstar.com site editor Jason Stipp and I also posted a video this week on some of the less-obvious indicators of economic recovery, including sales of pick-up trucks.
Robert Johnson, CFA does not own shares in any of the securities mentioned above. Find out about Morningstar’s editorial policies.