Wal-Mart numbers shake up US and Global Economy

Here are some signs that indicate how bad the US economy is going, nothing but almost a certain sign of recession. Yesterday, it was Wal-Mart, the top retail store chain of US, which declared a very disappointing set of numbers.

Not only that, the January sales observation at Wal-Mart have been really disappointing and surprising.

Wal-Mart officially said that its shoppers are redeeming the Wal-Mart gift coupons and gift vouchers for basic necessities like food, clothing other basic necessities of life. Instead, traditionally, these gift vouchers used to be redeemed for luxury items and fancy accessories like ipods, DVDs, DVD players, etc. When free gift cards and vouchers are used to make a saving or used to make spending on the basic necessities of life, it is an indication that things are not good at all. Though the other discount retailers have performed better than Wal-Mart, but they are also worried about loosing the traditional customers.

It’s an indication of how low the consumer confidence is, and how much we are in the grip of an economical slowdown, which may have a long lasting effect not only on the USA, but also on the entire global economy. Interestingly, the results declared by Wal-Mart are the worst results in 4 decades.

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