Richard Hastings Prices Quotations

China could choose to retaliate against yesterday's announcement by hiking up prices on a key export to the U.S. or suspending purchase of certain commodities from the U.S,

If trade relations between the United States and China begin to deteriorate, and the dollar declines in a disorderly manner, then a minor thing such as raw cotton prices could become very important,

Weaker spending on seasonal goods has been building up for four months now. The two factors hurting consumers particularly at the low- and middle-income levels are that wages have not grown and gasoline prices could go even higher.

What's holding up the consumer is habit. Until things change in a very material manner, American consumers won't alter their shopping habits significantly. The jobs market is strong and there's been a little bit of improvement in wage growth. I still don't believe that gas prices are high enough to derail consumers. If there is one thing that could shake consumers it's the housing market and not gas inflation.

Prices are much firmer in the high-end product arena than in the moderate price discount arena.

The additional cash on the balance sheet from the asset sales will put Kmart in a position to further reduce debt and possibly buyback more shares in a move that could boost share prices further, ... At the same time, the big cash position will enable management to look at an attractive range of choices, including the possibility at some point in the future of a major acquisition.

The consumer is jittery. Rising debt levels, inflation and higher gasoline prices are all real threats and a drag on spending.

I continue to believe that the effects of higher gas prices on the consumer are overestimated. Most of the important measures of discretionary spending such as furniture, lawn and garden and food sales held up nicely.