Business

October sales are expected to bring relief to stores
by Magdalena Rosova

October sales reports from main retailers will be released this Thursday and are expected to bring more evidence of a spending recovery. Analysts hope reports will give us proof that the economy is healing. The reports are based on sales at stores which are opened at least a year. After more than a year of declines the stores are expected to report gains. These figures are a key barometer of retailer's health. The reports can show more details on how shoppers are treating themeselves, wheather they only buy most important things or they also indulge themeselves. MasterCard Advisors' service SpendingPulse reported that sell of jewelry and clothing increased in October ! compared with previous year. Consumer spending represent about 70 percent of all economic activity, therefore evidence that people are spending more means that factories can rise production of goods. Cold weather and early holiday discounts drew shoppers into shopping centers in October. Warm clothes and leggings were highly wanted. Many sellers say that those who have money are beginning to spend again. However, sales remain at depressed levels and so the sellers are very cautious with their inventories. Spending of American consumers is still fragile as Americans grapple with tight credit and weak employment. Compared with September 2008 there were another 6 million people jobless in September 2009. Therefore consumer confidence stays weak. Stores are entering the holiday season with inventories from last year which they offer with discounts. That is absolutely different situation than last year. But many companies, such as Polo Ralph Lauren, stay conservative sayi! ng that they would rather restock certain items that sell out ! than be full with many leftovers.

related story (sgx15823): http://www.thenewstribune.com/business/story/942517.html...

by Magdalena Rosova for PocketNews (http://pocketnews.tv)

PocketNews is a new real-time news broadcaster delivering the latest and hottest news right to your pocket ! With global clients who want to be kept up to date, PocketNews is everyone's way of keeping in touch with the World.

posted by Blog TechSource @ 1:33 PM