It’s time to check the economy’s barometer. Dollar Tree is selling off Family Dollar after acquiring it ten years ago. Lack of synergies between the two. I admit, I confuse the two stores. They’re interchangeable in my mind. Anyway, you would think that they would have noticed the lack of synergies back when DT was thinking about buying FT. I guess that’s business.
What really struck me about the move were these insights from Dollar Tree Chief Executive Mike Creedon, with my emphasis added in bold:
With regard to consumer spending, Creedon said that Dollar Tree, like other retailers, is seeing middle-income shoppers focus more on value. “At the same time, we are seeing stronger demand from higher-income customers who increasingly see Dollar Tree as a cost-effective source for an expanding range of products,” he said during the conference call.sales
“We believe it doesn’t matter how much money you make. Everybody is hurting right now,” he said.
‘Everybody is hurting right now.’ That’s a knee slapper. I don’t think the Trusk Regime’s billionaire cabinet and their friends are hurting at all. But maybe that’s just poor, poor, cynical me. More critically, it seems that more middle class is shopping at the Dollar Tree. That’s a strong sign for the future…not.
But come on, how can we be hurting in Donald Trump’s economy? He’s making all those moves to save the government money. Well, okay, that DOGE stuff didn’t save much money. It instead destablised the government, outraged citizens, scared Republican senators and reps into hiding, caused confusion and triggered alarm, and sent the stock market down. But he added those tariffs…and took them away…and added them again…causing trade partners to retaliate. Which, yeah, hurt farmers, damaged overseas liquor sales, and has put a crimp in economic forecasts. Retailers and manufacturers have responded with layoffs and slashed their sales forecasts.
Naturally, shoppers were affected. US consumer confidence tumbles for the 4th straight month as future expectations hit a 12-year low.
The Conference Board reported Tuesday that its consumer confidence index fell 7.2 points in March to 92.9. Analysts were expecting a decline to a reading of 94.5, according to a survey by FactSet.
The Conference Board’s report Tuesday said that the measure of Americans’ short-term expectations for income, business and the job market fell 9.6 points to 65.2.
It is the lowest reading in 12 years and well below the threshold of 80, which the Conference Board says can signal a potential recession in the near future. However, the proportion of consumers anticipating a recession in the next year held steady at a nine-month high, the board reported.
“Consumers’ optimism about future income — which had held up quite strongly in the past few months — largely vanished, suggesting worries about the economy and labor market have started to spread into consumers’ assessments of their personal situations,” said Stephanie Guichard, senior economist at The Conference Board.
Oh boy, so much winning, it hurts.
Michael Seidel, writer 