The death of the US consumer has been greatly exaggerated

News

Redbook is out with its weekly retail sales numbers and the first two weeks of August were up 11.6% compared to a year ago. The weekly number also rose 12.7% y/y compared to 10.4% last week.

A better sign came from Wal-Mart, where shares are up 4.6% in the pre-market after earnings. The company guided lower earlier this month so it’s certainly not all sunshine and roses but the company maintained its outlook of 3% same-store sales growth for H2.

Home Depot shares are down 1.5% but the company reported record revenues and same store sales up 5.8% in the quarter.

There are some negatives in both reports but FX is comparative and European consumers are in a much worse spot with energy bills set to soar.

The dollar is also benefiting from a big gain against the yen today as the post-CPI drop is unwound.

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