Yet More Bad Economic News

On top of everything else this morning, turns out retail sales are continuing to tank.

Sales at U.S. retailers fell for a second straight month in April as cash-strapped consumers held back on some purchases, according to a government report on Wednesday that dealt a blow to hopes the economy was beginning to improve.

The Commerce Department said total retail sales slipped 0.4 percent after falling by 1.3 percent in March. Excluding motor vehicles and parts, sales dipped 0.5 percent in April, compared to a 1.2 percent decline the prior month.

Economists had expected retail sales to be flat in April.

While the pace of decline in retail sales slowed from the prior month, the report dampened expectations of a quick end to the nation's deep recession.

"I would say the likelihood is growing that second quarter consumption in the U.S. is going to be negative," said Robert Blake, senior currency strategist at State Street Global Markets in Boston.

Gosh Robert, you think? With unemployment rising and people scared to make big ticket purchases because they don't know if they'll have a job six months from now, you think that would have a negative effect on consumer spending?

Go figure.