Wall Street Greek: Morning Stock Market News 10-06-09

Visit the front pages of Wall Street Greek to see our current coverage of economic reports and financial markets. Catch this week's economic and market-moving news schedule at "Week Ahead."

(Tickers: RHT, ANGO, CHTT, PBG, RMCF, YUM, DIA, SPY, QQQQ, NYX, DOG, SDS, QLD, XLF, IWM, TWM, IWD, SDK)

There's not much going on today as far as economic reports go, and corporate earnings season does not kick off formally until Wednesday. Yawn... Still, the IMF and World Bank are meeting and making news, while the ICSC warms us up for Thursday's September Chain Store Sales data release.

Morning Stock Market News

Weekly Same-Store Sales

The International Council of Shopping Centers (ICSC) reported its regular same-store sales data this morning, and the news ain't that bad folks... The ICSC notes sales rose 1.0% in the week ended October 3, on a year-to-year basis. Weekly sales increased sequentially as well, rising 0.3%. Both metrics improved over their respective prior week growth totals of 0.9% and 0.1%.

So what are we to make of this? Market gurus have been warning that rising unemployment and tighter credit threaten to keep consumer spending in check. We have also warned of the same, and even feel a serious threat for a double dip recession that would theoretically follow a quarter or two of growth driven by inventory restoration. We say "serious threat," but Chinese growth and the near-term impact of economic stimuli would likely stave off a significant economic retreat. And of course, all this ignores the Israeli bombing of Iran and counter indiscriminate lashing out of the Persian state that we view an eventuality. All bets are off once that happens.

Still, what's going here. If 17% of you are effectively unemployed (including part-timers who use to have real jobs), but retail sales are still growing, then America has a serious problem. You are addicted to spending folks! Population growth cannot be sustaining spending on its own, though extended unemployment benefits are certainly helping. Still, if you are buying things based on that less than stable source of income, God help us! What do you think? I think we desperately need therapy. Comment below...

International Monetary Fund Event

The 186 member IMF is meeting in Constantinople today, and the group agreed to continue supporting economic growth during this still sensitive period of early recovery. What did you expect anyway chums?! The IMF made three key points in its public statement:

To back governance reform
To revise its mandate to reflect its new role
To move to revive credit and restore jobs

Lovely!

Basically, the fund wants to keep stimulative policy in place until recovery is assured. Governance reform refers to a growing global trend to give the larger emerging market nations (read China and someday India) a more significant voice in global direction. The World Bank had eerily similar things to say today. New world order anyone?

Corporate News Drivers

SNL Financial and Sullivan & Cromwell is holding its bank M&A symposium today. Red Hat (NYSE: RHT) hosts a meeting with analysts, and the day's short earnings schedule includes reports from AngioDynamics (Nasdaq: ANGO), Chattem (Nasdaq: CHTT), Pepsi Bottling Group (NYSE: PBG), Rocky Mountain Chocolate Factory (Nasdaq: RMCF) and Yum! Brands (NYSE: YUM).