Strong Retail Sales Data, Lower Wholesale Prices Helps Stabilize Market

[Stocks-to-Watch]

Retail sales rose by an impressive 0.5% in October, better than economists’ expectations for a 0.1% rise. Excluding autos and gas, retail sales were up 0.7%.

Wholesale prices dropped 0.3% and core wholesale prices were flat in October, after rising 0.2% in September. The data helped fuel an early rally that briefly pulled stocks out of the red.

The momentum wasn’t quite enough to vanquish fears over European debt levels; Italy’s bond yields rose above 7% again on Tuesday, and Spanish yields were also on the rise. But it did reverse some of this morning’s negative momentum.

The Dow was recently trading down about 23 points , or 0.2%, after falling by more than 100 points in pre-market action.



Original Article Source by Barrons.com