According to the Swiss bank’s calculations, on a unit basis, approximately 2,880 store closings were announced YTD, more than twice as many closings as the 1,153 announced during the same period last year. Historically, roughly 60% of store closure announcements occur in the first five months of the year.
By extrapolating the year-to-date announcements, CS estimates that there could be more than 8,640 store closings this year, which will be higher than the historical 2008 peak of approximately 6,200 store closings, which suggests that for brick-and-mortar stores stores the current transition period is far worse than the depth of the credit crisis depression.
(From ZH this morning)
We’ll see if those extrapolations bear out making 2017 a worse year for brick and mortar than 2008 but one thing we can be 100% sure of is that closed stores don’t have employees in them.
Maybe someone should relay that information to the statistical torturers over at the BLS.
The BLS is still showing very robust employment in retail. Riiiiiight. When the next downturn comes and it’s “ok” to report bad info, watch for huge, late, after-the-fact downward revisions to this data.
You know, people who lie to themselves constantly end up with ruined lives. Why should a nation be any different?
Nearly 10,000 Stores Could Close This Year
As I predicted months ago we are witnessing a monumental downturn in the retail sector. According to this Daily Caller report nearly 10,000 may close this year.
Brick-and-mortar shops and retail chains are closing at a record rate, and there’s no sign the decline will stop, The Wall Street Journal reports.
In the first four months of 2017, retailers have announced a total of 2,880 store closures, and some financial services firm Credit Suisse predicts that around 8,600 stores will close this year. That’s more than closed during the financial crisis in 2008, and twice the number that closed in 2016.
Stores are closing at an epic pace