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Market Musings - Friday the 13th and Retail Sales | The Mesh Report

Market Musings – Friday the 13th and Retail Sales

Todd Horwitz August 13, 2010 1

Retail sales are on deck, with gains expected at a meager .5%  and the all markets eying the all important consumer. Sell side personal flood the airways of the importance of the average citizen to start spending again so the recovery can take flight.

On the other side , The U.S. and Europe square off in a battle of austerity jaw boning .Both sides in awe of the crazy spending that got us here in the first place!  Saving money may be a prudent thing to do but according the experts we all need to forget saving and do our civic duty to spend to boost the economy? Or is it our duty to all get more credit cards and spend to support the TBTF banks who borrow at 0% to lend to consumers at 25%, backed fully by the taxpayers in case one of these banks should fail with this business plan.

Seems that many are hopeful we get back to our spending ways so the giant pyramid game that is our economy continues. Maybe soon a Retail spending number in line with a jobs number  or wage growth would be looked on favorably? For now though it won’t work that way and markets will cheer hard any upward surprise today!  Seems like our whole economy needs a trip to group therapy?

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  • http://www.thetexasring.com Linda Brady Traynham

    Dear Michael:

    Vot a country, eh? Very nice article, and very much in line with my waking thought, today, which was a fragment of an old show tune: “Something for everyone, a comedy, tonight!”

    Don’t blame US! WE are doing our best to save our country by consuming. As I write my darling Charles and our foreman are off to buy a hundred sheets of plywood. Perhaps the O’Bamer should devise a medal for spending above and beyond self-preservation.

    Evil chuckle…it was a beautiful purchase that met all the criteria: we need it, we want it, the wood is brand new (still banded), it cost 2/3 of what it would from any local lumber yard, we paid no sales tax on it, the seller recouped some of the capital he has tied up, and the money won’t go into a bank to be multiplied by ten for mythically-capitalized loans. We “impacted” the economic environment as little as possible, by design, proud of it.

    Unfortunately, the reason for the sale isn’t at all funny. The man is accumulating a war chest to deal with a “neighbor” whose hobby is starting frivolous law suits. There is no point in using all the materials he had stockpiled to build a house near a yahoo whose latest effort is a claim the seller’s stock pond “might” overflow and flood his house. It never has during the memory of man, but it could…

    Reminds me of an old Texas story of a rancher who relocated when someone moved to withen ten miles of the home place. Good fences and distance make for better relations…