Retail Sales Dip, Wholesale Prices Spike

http://www.nytimes.com/reuters/news/news-economy.html

Retail Sales Dip, Wholesale Prices Spike
By REUTERS


Filed at 10:18 a.m. ET

WASHINGTON (Reuters) - U.S. retail sales dipped in October as auto demand dropped while wholesale prices spiked on soaring food and vehicle prices, the government said on Friday.

In a report showing a second straight month of declining consumer activity after surges in July and August, the Commerce Department said retail sales fell 0.3 percent last month.

The slide, which was slightly larger than the 0.2 percent drop expected by Wall Street, came as auto sales fell 1.9 percent. Excluding the weak autos, sales actually rose 0.2 percent, matching analysts' forecasts.

A separate report showed wholesale prices unexpectedly posted their biggest gain in seven months in October, with food prices climbing at the fastest rate since January 1984 and car prices spiking with the introduction of new models.<snip>

oo boy.. fireworks time...

here comes deflation...

phew - American consumers are pooped!

/sarcasm off