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US Retail Sales Surprisingly Buoyant Under The Hood
Headline US retail sales rose just half as much as expected in April, but underlying gauges of nominal spending were strong, according to data released on Tuesday.
Taken together, the figures suggested the American consumer is still holding up. Or maybe still paying up is more apt.
The 0.4% headline increase compared unfavorably to the 0.8% gain consensus expected. The range of forecasts from nearly six-dozen professional guessers was -0.1% to 2%.
March's headline print was revised to show
Meanwhile, Home Depot just posted the biggest revenue miss in 20 years (at least according to the hyperbolic CNBC headline I quickly scrolled past).
One of the biggest conundrums of this manic cycle, I would expect such depressed consumer sentiment to manifest in reduced spending but spending continues, something does not add up, if consumers are really as dour as the data portends then retail sales have to start showing signs of caving at least a little, puzzling.
If you have student loans, you could be depressed about future consumption because the clock on loan repayment is about to be re-started, but still consuming because you have “excess” money now.