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Yesterday I touched on Retail Sales not showing any growth in July, and yet over the same period consumer debt has increased.  This chart illustrates that first point of Sales have tapering off over the last four months.  This morning the news is focused on Europe’s stagnant economy (France GDP is 0% and Germany actually contracted 0.2% in Q2).  The recipe for disaster is compounded by the region’s massive overhanging debt and questionable ability to repay.  Glad we don’t have those problems here in America.

At any rate, despite the Federal Reserve continuing to sell off their holdings of mortgage backed securities, interest rates look to be staying low for awhile.