Retail Sales Hit Highest Mark In Months

Department Stores Benefit From Economic Stimulus Payments To Taxpayers

(AP)  Retail sales jumped by the largest amount in six months in May as 57 million economic stimulus payments helped offset the headwinds buffeting consumers.

The Commerce Department reported Thursday that retail sales soared 1 percent last month, the biggest increase since November. A wide variety of retailers enjoyed a good month, including the biggest increase at department stores and other general merchandise stores in a year.

The May increase was double what economists had been expecting and indicated that the economy is getting a major boost from the $50 billion in economic stimulus payments the government sent out in May, just under half of the total stimulus aimed at consumers.

The Bush administration is hoping the stimulus payments will help offset the gloom from a prolonged slump in housing, a severe credit crisis, soaring energy bills and rising layoff notices and help the country avert a deep recession.

Highlighting the pressures on the job market, the Labor Department reported Thursday that new applications for jobless benefits rose by 25,000 last week to 384,000, the highest level since late March.

It was a much bigger increase than analysts had been expecting. Last week, the government reported that the unemployment rate jumped to 5.5 percent in May, up from 5 percent in April. That was the biggest one-month rise in 22 years.

In a third report, the Commerce Department said that business inventories grew by 0.5 percent in April, more than double the 0.2 percent rise in March and the best showing since inventories rose by 1 percent in January.

Analysts were surprised by the solid increase in retail sales and noted that sales in April were also revised to show a respectable gain of 0.4 percent, instead of the original estimate that sales had fallen by 0.2 percent.

"Recession? What recession?" asked Joel Naroff, chief economist at Naroff Economic Advisors. "Spending in April and May was solid in just about every category."

Ian Shepherdson, chief U.S. economist at High Frequency Economics, said one possible explanation was that consumers have suddenly returned to their carefree spending ways despite weak consumer confidence readings and the credit crunch.

But he said a more likely reason was that rebate checks were giving a temporary boost to spending that would not last, resulting in weaker economic performance in coming months.

The retail sales report showed that general merchandise stores, which include department stores and discount stores such as Wal-Mart, saw sales rise by 1.2 percent, the best showing since a 2.1 percent rise in March 2007.

Auto dealers saw sales increase by a much smaller 0.3 percent in May, but that still represented a small rebound after a big 2.1 percent drop in April. Auto sales are being hurt by the weak economy and soaring gasoline prices, which have sharply depressed demand for gas-guzzling pickup trucks and sport utility vehicles.

Gasoline service stations reported sales up 2.6 percent, an increase that largely reflected soaring prices, which have pushed gasoline to above $4 per gallon nationwide. Energy Department analysts are forecasting that pump prices will keep rising, probably peaking at around $4.15 per gallon in August.

Excluding the big rise in gasoline costs, retail sales would still have been up by a solid 0.8 percent in May.

[gce65]

Retail sales jumped with "Bush Check" money borrowed from China and eventually on its way to Saudi Arabia and the Emirates.

Bush is just attempting to buy time so we don''t revolt and string him up before next January. But after January.....

[ajmarine111]

where did the ''''tax break money'''' come from ... milton freidman?

Posted by bobnjersey at 06:03 PM : Jun 12, 2008

This is not "tax break money" it is "Tax Rebate" money. The government gave back some of the taxes to tax payers filing tax returns that they paid in.

[nothappyatall]

The Clinton Legacy


The only president ever impeached on grounds of personal malfeasance

Posted by dzapple

You left out NIXON who quit before he COULD be impeached- for serious CRIMES not a silly personal *** any married man would have lied about as well.

But ho hum, Clinton has been out of the picture what? 8 YEARS now? he is NOT THE PRESIDENT, the Bush cartel who ran the national debt up from 5 trillion to almost TEN in just 7 years is the president, and one who has scandal after scandal and staffer after staffer resigning or being investigated.

[nothappyatall]

But hey, "that tax break money won''''t help" according to the Democrats.

Posted by hoseobama"

That''s right, it WONT, it''s too little too late, and a ONE TIME check can only be spent ONCE and it''s gone. So we get ONE MONTH''s worth of ''stimulated'' sales followed by going right back where we were. The businesses that get the money get one month of sales increase, tawhooptedoo- businesses need 52 weeks of solid steady sales to stay in business because payroll, overhead- utilities etc don''t decrease and still have to be paid whether you have a good month or lose your shirt.

[downsteamjim]

I hope we don''t pay these economists very much. Their guesses are consistently wrong.

[credibility2]

I wasn''t one who helped the retail numbers go up and I really don''t know of any in my circle of humans. I just received my stimulus check and am torn between having to replace my hot water heater, or my refrigerator, or my stove. The check won''t cover most of this. I have one credit card at under $600, but am out of regular work and severely underemployed and have dwindling savings and don''t want to miss a mortgage payment. No work for an older person who has some physical limitations. I also don''t drive much and rely on some charity for food. No health insurance either. It''s horrible, but I''m still blessed and more fortunate than most. God bless us all and help us through these days of doubt and the unknown.

[mcv57]

replace mind for "mine" hehehehehehe, I am so tickled.

[mcv57]

It was the stimulus economic checks from IRS. I just got mind (man, oh man that money came in on time to pay that credit card bill).

[trbundro1277]

I don''''t remember - 71
I don''''t know - 62
I''''m not sure - 17
I have no idea - 10
I don''''t believe so - 9
I don''''t recall - 8
I don''''t think so - 8
I don''''t have any specific recollection - 6
I have no recollection - 4
Not to my knowledge - 4
I just don''''t remember - 4
I don''''t believe - 4
I have no specific recollection - 3
I might have - 3
I don''''t have any recollection of that - 2 I don''''t have a specific memory - 2
I don''''t have any memory of that - 2
I just can''''t say - 2
I have no direct knowledge of that - 2
I don''''t have any idea - 2
Not that I recall - 2
I don''''t believe I did - 2
I can''''t remember - 2
I can''''t say - 2
I do not remember doing so - 2
Not that I remember - 2
I''''m not aware - 1
I honestly don''''t know - 1
I don''''t believe that I did - 1
I''''m fairly sure - 1
I have no other recollection - 1
I''''m not positive - 1
I certainly don''''t think so - 1
I don''''t really remember - 1
Posted by dzapple at 05:43 PM : Jun 12, 2008
** Sounds like the Al gonzales trials! LOL!

[naucoming4u]

Can we make a big hand... out of some type of wood or plastic...

...and then use it to smack every American up the head, who had spent their rebate check on a shopping spree but still complain that their "bills" are unaffordable!

[bobnjersey]

[But hey, "that tax break money won''''t help" according to the Democrats.]
[Posted by hoseobama at 05:57 PM : Jun 12, 2008]

where did the ''tax break money'' come from ... milton freidman?

[naucoming4u]

Retail sales... highest mark in months...

...Americans'' credit card debt... highest mark in months...

...because most are not smart enough to pay down their debt(s) with the tax rebate money as opposed to a shopping spree!

[bobnjersey]

[That is a total of 4,417 military deaths during the Clinton years]
[Posted by dzapple at 05:56 PM : Jun 12, 2008]

how many severe head injuries were there ... one''s where the soldier will be completely reliant on soemone else for their well being?

how about the number of serious injuries ... in the category of lost limbs, parapalegic, or quadrapalegic?

how many cases of ptsd?

how many now suffer from severe psychological effects from their service?

[hoseobama]

But hey, "that tax break money won''t help" according to the Democrats.

[dzapple]

Here is a list of how many US soldiers were killed when Bill Clinton was in office. We didn%u2019t get constant death tolls the way we do now, so you probably haven%u2019t seen these numbers before.

1993-1,245

1994-1,109

1995-1,055

1996-1,008

That is a total of 4,417 military deaths during the Clinton years

[dzapple]

The Clinton Legacy

FROM THE WASHINGTON TIMES: In the portions of President Clinton''s Jan. 17 deposition that have been made public in the Paula Jones case, his memory failed him 267 times. This is some of his answers and how many times he gave each one.

I don''t remember - 71
I don''t know - 62
I''m not sure - 17
I have no idea - 10
I don''t believe so - 9
I don''t recall - 8
I don''t think so - 8
I don''t have any specific recollection - 6
I have no recollection - 4
Not to my knowledge - 4
I just don''t remember - 4
I don''t believe - 4
I have no specific recollection - 3
I might have - 3
I don''t have any recollection of that - 2 I don''t have a specific memory - 2
I don''t have any memory of that - 2
I just can''t say - 2
I have no direct knowledge of that - 2
I don''t have any idea - 2
Not that I recall - 2
I don''t believe I did - 2
I can''t remember - 2
I can''t say - 2
I do not remember doing so - 2
Not that I remember - 2
I''m not aware - 1
I honestly don''t know - 1
I don''t believe that I did - 1
I''m fairly sure - 1
I have no other recollection - 1
I''m not positive - 1
I certainly don''t think so - 1
I don''t really remember - 1

[dzapple]

The Clinton Legacy


The only president ever impeached on grounds of personal malfeasance
- Most number of convictions and guilty pleas by friends and associates*
- Most number of cabinet officials to come under criminal investigation
- Most number of witnesses to flee country or refuse to testify
- Most number of witnesses to die suddenly
- First president sued for sexual harassment.
- Second president accused of rape**
- First first lady to come under criminal investigation
- Largest criminal plea agreement in an illegal campaign contribution case
- First president to establish a legal defense fund.
- First president to be held in contempt of court
- Greatest amount of illegal campaign contributions
- Greatest amount of illegal campaign contributions from abroad
- First president disbarred from the US Supreme Court and a state court

[hypnotoad72]

the problems created by Clinton were so massive

Posted by faith_in_W
----------------------

Would you add some examples or evidence? During his era, I recall the national debt brought under control... though everybody knows his era wasn''t perfect either, I just think adding a little more substance would be nice.

[trillion1]

So some dolts ran out and blew their check. The economy is hardly saved and they ain''t getting another check.

[bobnjersey]

[Retail sales jumped by the largest amount in six months in May as 57 million economic stimulus payments helped offset the headwinds buffeting consumers. ]

it''s good to see that for many receiving these stimulus checks, it appears as though nothing has really changed at all ... just spend everything that comes your way until you have no more.