Seeking Alpha

Stocks hang on to gains as consumer spending posts surprise drop

  • Stock futures hold on to slim gains following an unexpected drop in U.S. personal spending for July; S&P and Dow +0.1%, Nasdaq +0.2%.
  • Overnight action has been subdued with Asian markets ending mixed, while major European indexes trade near their flat lines.
  • U.S. volume has been extremely light for several days, and a Friday before a three-day holiday weekend almost certainly means more of the same.
  • A major advance or retreat seems unlikely, so the S&P's 3.4% gain so far this month could complete its strongest showing since February and best August since 2000.
  • Treasury prices are slightly lower, with the 10-year yield up one basis point at 2.35%.
  • Still ahead: Chicago PMI, consumer sentiment.
Comments (1)
  • Doc 224899
    , contributor
    Comments (937) | Send Message
     
    The drop in consumer spending is not a surprise to those of us in America's forgotten heartland who have quite seen anything even vaguely resembling an "economic recovery".

     

    I used to be amused every time Larry Kudlow used to ask if anybody knew what was going on in America's heartland, economically. I would have told him, if there had been any way for me to tell him directly, but his email address and phone number never made it to my inbox. :-)
    29 Aug 2014, 11:03 AM Reply Like
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