Discounters Report Strong May Sales
Retailers reported supposedly strong May sales this morning. But I don’t know that they were really all that strong. Discounters like Walmart and Costco were strong. But department stores and speciality retailers weren’t all that strong. To me, it continues to suggest tough times and a squeezed consumer.
Walmart reported a compelling 4.4% increase in US same store sales (including fuel).
Costco reported a strong 7% increase in US same store sales (including fuel).
See also: “The Walmart Economy”, Top Gun FP, May 13, 2008.
Disclosure: Top Gun is long Walmart (WMT) and has no positions in Costco (COST) and Target (TGT).