Retail Sales Weaker Than Expected

This morning’s report from the Census Bureau revealed that there was no growth in April’s Retail Sales despite estimates looking for a 1% rise. March’s 9.8% growth was revised to 10.7%. Without Autos, Sales fell 0.8% against an expected rise of 0.6% while March’s 8.4% growth was revised to 9%. The Retail Sales Control Group, without food services, autos, gas stations, and building materials fell 1.5% versus an estimated dip of just 0.2%. March’s 6.9% gain was revised to 7.6%. From the Bureau of Labor Statistics, its report on last month’s Import Prices shows a rise of 0.7% that was pretty close to the estimate while the year-over-year pace rose to 10.6% from 7%. Export Prices rose by the expected 0.8% for the month with the year-over-year pace jumping to 14.4% from 9.5%. Later today, reports for April’s Industrial Production and Capacity Utilization are expected along with May results for the University of Michigan’s Index of Consumer Sentiment. Treasury prices were already up slightly in early trading and this morning’s reports have caused little change. The Long Bond is yielding 2.37% with the Ten-Year at 1.64%. The Two-Year is steady at 15 basis points. Crude oil is up slightly to $64.44 with gold rallying $9 so far to $1,836. Equity futures are pointing toward a positive opening.