Wal Mart has worst sales in 28 years- an indicator?

[NightWatcher]

http://online.wsj.com/article/SB117880185064598518.html?mod=googlenews_wsj

Their 3 week sales numbers were down more than 3 percent.

Does this mean that more people are getting upset with Walmart or is the economy that has been doing so well, is finally hitting the "little people"?

I think that the "great" economy that has seen the dow go screaming into record territory for the past two months is starting to unravel on the homefront. We know that foreclosures are up and that bankruptcies are on the rise as well. I suggest an argument that the economy is not well and that this in an indicator that shows that the "average joe" is starting to feel the pain.

Middle America is starting to hurt. Maybe soon the "W" stickers will start falling off of the vehicles of those in the red states as well.

[Mika]

1. Interesting..

.. from the wsj article..

It isn't working for Julia Russ, though. The 42-year-old federal contract administrator in Grand Prairie, Texas, visited a Wal-Mart in her city four times last month for groceries, pet supplies, toiletries and paper goods. But she often finds the store crowded and hectic. "The wait at checkout is getting longer all the time," Ms. Russ said. "I may lose patience and pay the difference for my time" to go elsewhere.

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From 1984..

Bad news coming, thought Winston. And sure enough, following on a gory description of the annihilation of a Eurasian army, with stupendous figures of killed and prisoners, came the announcement that, as from next week, the chocolate ration would be reduced from thirty grammes to twenty.

Black is white
Up is down
War is peace
Freedom is slavery

[The_Casual_Observer]

2. $3.50+ gas, people buy less of the junk that walmart sells.

[blues90]

3. I think it's the failing economy

More people losing jobs and others with much less to spend , I doubt it has anything to do with wally worlds policy , I doubt enough people are aware of this part at all .

[progressoid]

4. Middle America AND lower America is hurting

And where it's really gonna hit hard is in small towns. If Wallyworld keeps seeing sales drop they'll close the smaller stores in small towns that reap the least profit.

Of course, they (WM) have already run local shops out of business so this will mean locals will have to drive to another town for goods which means spending more money they don't have for gas. FUBAR.

[StarryNite]

5. So what are they going to do

with all that cheap Chinese shit left sitting on their shelves?:shrug:

[live love laugh]

6. So THIS is how it will come to a head...when the Walmarts of the world start complaining

about the economy then maybe something will be done about it.

[NightWatcher]

9. either that or they will go to China to find another market to sell their stuff

We are almost out of money and credit. We are spent. China is the new #1 market. We are damaged goods.

[JANdad]

10. I am truly surprised that WM

Has not been more vocal about gas prices yet. You would think that they would be out in front of PR issues to put pressure on Big Oil to get prices uder control...

[JANdad]

7. In my case...

I work FT @ $60k per yr and the SO works PT at one of Wally Worlds competitors and we are doing OK...meaning we want for none of the basics, but have no money left over for savings or disposable/discretionary spending...can't even go on a weekend getaway with the kids anymore...really sucks!

[Selatius]

8. The economic indicators are weakening due to rising fuel prices

Higher fuel prices = less disposable income. The shit hits the fan if Bush decides a war with Iran is necessary.