Markets Suggest Black Friday Failed

The point of Black Friday is to push retailers into ”the black.”  Looking at the market this morning, all I am seeing is red!

“The black” is an accounting term for profitable territory on financial statements.  Initial estimates on Black Friday showed better than expected sales, but analysts are concerned that sales were so disappointing during the rest of November that Friday’s boost may not have been enough to push the retailers into positive territory.

Before noon, the Dow had lost 400 points. 

We are all aware that consumer spending has been dismal and no one should have looked at Black Friday as the savior it has often been.  According to Yahoo, Friday and Saturday sales data will be available later on today. I say slow down and wait for the data!  In addition to Black Friday, we have Cyber Monday sales to consider.  

These violent swings (up last week and down today) are speculative and often result in overreactions and corrections.  Maybe the last hour of the trading session will save the day…