The markets leveled off a bit today. Unfortunately, I don't think we have heard the last of the credit crunch. I know that many CNBC commentators feel that the consumer is doing fine and that the middle class isn't hurting. However, I work at a retail printing company that serves an upper-middle class. I've seen more people than usual faxing mortgage documents and talking about losing their home than before. The consumers that are buying things in the area seem to be stretching their dollar more.
Perhaps this is my local view from a Philadelphia suburb, but I think that consumer's pain just hasn't been completely reflected in the consumer sentiment report. I recommend caution for the next month or two. The markets may still have a bit more correcting to do.
Sincerely, Trevor Stasik
Credit+Crunch, Consumer+Sentiment, Markets, CNBC