[lbo-talk] Retail

Michael Pollak mpollak at panix.com
Sun Jul 11 12:48:23 PDT 2010


BTW, remember a couple of months ago when we talked about the sudden boom in retail?

http://mailman.lbo-talk.org/pipermail/lbo-talk/Week-of-Mon-20100517/007672.html

And wondered how people were paying for it since neither wages nor employment nor credit were going up? And how the main explanation seemed to be that it was a splurge after people saved everything in fear of losing their jobs, and now that they felt secure that at least they weren't going to lose their jobs, they had a bit extra cash and a bunch of pent up desire? But that it was probably only a passing thing?

Apropos, a comment Friday's Lex column in the FT:

<quote>

American consumer behaviour is starting to take on the appearance of a yo-yo diet. Yesterday, US retailers reported a third successive disappointing month of retail sales year-on-year growth in same-store sales of 3.1 per cent for June, less than forecast. Strong spring numbers now have the look of a post-recession binge, and shops stocked for rapid recovery may find themselvs chasing business once again.

<end quote>

Michael



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