Courtesy of Mish.
A month ago, following the Expected Retail Sales Bounce, I stated “A sales snapback was coming at some point. May was the month following months of disappointments.“
Key Questions
Here were my two key questions:
- Will the surge in spending continue?
- How Much Longer Can Subprime Auto Sales Lead?
Economists Surprised Again
The surge in spending did not continue.
Today’s report not only revised last month’s sales numbers lower, this month surprised if not shocked economists, with negative numbers below any forecast in the Bloomberg Consensus Estimate.
Economists predicted a rise in sales of 0.3%. Actual sales came in at -0.3 percent, a half-percentage-point below the lowest estimate, and another wrong sign for the economists.
One month does not tell a story, but it may provide clues.
Advance Retail Sales Numbers
Let’s dive into the Census report for additional details on Advance Retail Sales for June.
…
