Just when we thought the recovery is sputtering, retail sales and inventories surprise to the upside. This pop is especially positive news considering auto sales are at historical lows.
US Auto Sales long term graph –>http://www.hiddenlevers.com/hl/u?aXotxD
Consumer spending + sustained business investment will lead the way to a true recovery, not government spending. If you think the Retail Sales trend points north, look for plays that keep pace. Examples:
Williams Sonoma http://www.hiddenlevers.com/hl/u?agNK5F
If you think the Retail Sales trend is a blip, look for plays that don’t follow it south. Examples: