Wall Street says we're in economic recovery, and wants to know why you mofos AREN'T SHOPPING?

[marmar]

U.S. Stocks Fall, Extend Weekly Drop, on Personal Spending Data Share Business
By Rita Nazareth


Oct. 30 (Bloomberg) -- U.S. stocks fell, extending a second straight weekly drop for the Standard & Poor’s 500 Index, after consumer spending dropped for the first time in five months. The dollar and Treasuries gained, while commodities decreased.

American Express Co. and Home Depot Inc. declined after Commerce Department figures showed a 0.5 percent decrease in purchases last month. MetLife Inc. tumbled 4.7 percent after the biggest U.S. life insurer posted a third straight loss. The S&P 500 retreated after surging the most since July yesterday as the government said the economy returned to growth following the worst contraction in seven decades.

“The stock market got a little tired after a rally of that magnitude yesterday,” said Malcolm Polley, chief investment officer at Stewart Capital Advisors in Indiana, Pennsylvania, which manages $1 billion. “Third-quarter GDP numbers were good, the worst is behind us, but consumer spending is not sustainable yet. Valuations are probably ahead of where they should be.”

The S&P 500 declined 0.5 percent to 1,061.34 at 9:35 a.m. in New York. The Dow Jones Industrial Average fell 43.3, or 0.4 percent, to 9,919.28. Five stocks retreated for each that rose on the New York Stock Exchange.

The advance yesterday ended four sessions of losses spurred by investor concern that a rally since March had overtaken the outlook for economic growth. Since March 9, the S&P 500 has surged 58 percent. ..........(more)

The complete piece is at: http://www.bloomberg.com/apps/news?pid=20601087&sid=ag05gXpHyD7g

[JVS]

1. Maybe if they would slide some of that money this way, we would

[Blue_Tires]

2. the Ferrari salesman won't budge on the sticker price...

[Brickbat]

3. Pretty much just to piss you off, Wall Street. That's why.

[Mojambo]

4. Probably saving up money for the cancer treatments. n/t

[create.peace]

5. we're doing our best

buying lots of lentils.

[Cassandra]

6. I was putting some money aside for purchases but...

I'm expecting Blue Cross to want it all for premiums.

[AndyA]

7. Why aren't consumers spending? The answers should be obvious.

Here ya go, Wall Street:

1. We don't have jobs. (No job = no income = no money to spend = no shopping.) (P.S., Most don't have trust funds to fall back on.)

2. We have no credit available (that would be YOUR FAULT, Wall Street).

3. Those of us who do have credit available, aren't using it because the interest rates are OBSCENE. (That would also be YOUR FAULT, Wall Street.)

4. New fees are eating up what little extra income people have. (Fees like bank fees, fees for the honor of carrying a credit card in our wallet, fees for not using the credit card in our wallet, etc.)

5. And maybe some of us just aren't spending on purpose, hoping it causes the "too big to fail" Wall Street entities to fail, so they can be broken up and competition and diversity can return to the industry.

See, that's the thing about screwing around with the American people. We don't always act the way you expect us to. Sometimes we surprise you and do something else.

[HughBeaumont]

12. It all boils down to "What has to happen first?"

Do the Consumers have to start spending or do corporations have to start HIRING again?

[lonestarnot]

8. HMMMF! Fuck you Wallyworld!

[AllentownJake]

9. If this is a double dip recession

and they fail again, I'll be in the streets in D.C. vocally protesting and calling my congressmen, organizing etc. To ensure that these fuckers face the consequences for their actions this time.

[cark]

10. People aren't spending because

IMO there has been a huge wake up call and people are changing there previously irresponsible spending ways, kind of like the great depression did to that generation. Wether or not it will last is an unanswered question. People are scared about the high unemployment and aren't convinced this is a real recovery. The fear is we may sink back down in a year or two so they want to lower their personal debt and have some money in the bank. Then there is the overarching concern about this unsustainable debt and the long term implications, we can't just keep doing what we're doing. Taxes will go up and spending must come down. Higher taxes will mean less money for consumers to spend which means less money for businesses which means fewer jobs and capital purchases.

[HughBeaumont]

11. Hmmmmmmm . . .. why indeeeeeeed . . . .