Showing posts with label consumer sentiment. Show all posts
Showing posts with label consumer sentiment. Show all posts

Friday, November 14, 2008

Tough times for retailers 2

This article provides further discussion of consumer sentiment and it's expected affect on retail sales. There are also forecasts for retail sales in this article. An interesting point I noticed in the article, is the effect of tighter credit on retail in the auto industry.

The consumer sentiment index published by Reuters and the University of Michigan can be found here.

Wednesday, November 12, 2008

Tough times for retailers

Today Best Buy announced an earnings warning, that is they projected that their earnings will be lower for the year, see the story "Worst. Buy. Ever."

The earnings warning is linked by management to changes in consumer sentiment, as fewer consumers appear willing to spend big recently.

In related news, the rival electronics retailer, Circuit City, had previously announced that it was entering into a Chapter 11 reorganization. This is likely to predict the end of the company, based on the statement of Credit Suisse analyst Gary Balter, who was quoted (in this article) as saying: "We have not seen a consumer electronic retailer successfully reorganize in Chapter 11 in our 24 years in this space."