With a chop that would make a sailor sea sick the Dow Jones Industrial Average suffered from the varied whims of investors all day Friday.
This reaction is not surprising when you consider the statement issued by Commerce Secretary Gary Locke today regarding May retail sales. In the statement, Locke mentions the 1.2% decline in retails sales during the month. But it goes on to discuss the fact that retail sales have grown 6.2% over the course of the quarter so far, leaving a mixed bag of economic data that manages to reflect both cutbacks and increases in spending. Some economists still feel that the report indicates a steady pace of economic growth.
By the end of the day, worries about European debt problems and reduced retail sales were swept aside and even news of BP’s (NYSE: BP) potentially cut dividend couldn’t slow investors as the Dow surged to close at 10,211.07 up 38.54 points from Thursday. The Nasdaq also closed up a total of 24.89 points at 2,243.60. The S&P 500, which had fallen on the news of decreased retail sales, also managed a positive day—although just barely— up a total of 4.76 points to close at 1,091.60.
