Doing Fine: World stocks fall, dollar slips on weak U.S. data

Posted by on Jun 13, 2012 at 10:33 am

The hits just keep on coming for the failed president. Maybe it’s time to revive that contrived War on Women since this economic disaster threatens to consume the Fundraiser-in-Chief.

Global stocks fell and the dollar edged lower on Wednesday as U.S. retail sales fell for a second straight month in May and wholesale prices dropped by the most in three years, further signs the U.S. economy is struggling.

Concerns that Spain’s financing problems may spread to Italy, whether Greece will remain in the euro zone after its June 17 election and the potential impact of Europe’s woes may have on global economic growth also weighed on stocks.

European shares extended losses and stocks on Wall Street opened lower as demand for building materials sagged and falling gasoline prices crimped receipts at service stations, dragging retail sales down 0.2 percent, the Commerce Department said.

April retail sales were revised to show a 0.2 percent drop instead of the previously reported 0.1 percent gain. Excluding the surge of auto sales, sales fell 0.4 percent, the biggest decline in two years.

The U.S. Labor Department said its producer price index dropped 1.0 percent in May as energy costs slumped 4.3 percent.

“Headline retail sales was in line with expectations, however, excluding autos the number looks softer than forecast,” said Omer Esiner, chief market analyst at Commonwealth Foreign Exchange in Washington.

Unexpected, of course.

Don’t fret though, folks, Obama’s delivering his 87th “major speech” on the economy tomorrow. You know, may he should just shut up and pray.

Obama is expected to portray himself as a defender of the middle class and describe Republican challenger Mitt Romney as a protector of the rich and an advocate of conservative policies that have failed in the past. These are themes that Obama has used many times before as he has called for an economy “built to last,” with federal investments in manufacturing, education, energy, and research and development. Administration officials say there probably won’t be any major new initiatives in the speech.

The address comes at a time when some Democratic strategists, particularly those associated with former President Bill Clinton, are raising doubts about Obama’s message as confusing, backward-looking, and overly negative in attacking Romney. Some say Obama and his team have run out of new ideas and are too insular.

But remember, he lives in the real world or something.

Those of us who have spent time in the real world understand that the problem is not that the American people aren’t productive enough,” Obama said during a fundraiser today, after saying that Romney believes that America “automatically” prospers when the wealthy profit. “[Romney says] his 25 years in the private sector gives him a special understanding of how the economy works, [so] my question is why are you running with the same bad ideas that brought our economy to the brink of disaster?” …

Obama lives in the real world? Really?

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