My general economic thesis of a very slow recovery appears well intact this morning after worse than expected retail sales and housing starts. ICSC Goldman Sachs retail sales came in -0.3% vs an expected 0.5% gain. Housing starts were also disappointing this morning.
“Our markets, and the consumer in general, remain under pressure,” said Frank Blake, chairman & CEO. “But we continue to make progress on improving our business as evidenced by stronger customer satisfaction ratings.
It’s surprising to see stocks positive on this news. Whether this is complacency or market strength has yet to be seen. Keeping things in perspective, the S&P 500 is up just 1.5% thru the first 5 months of the year. No doubt, an abysmal annualized return.