Steve Neimeth Consumer Quotations

IBM's numbers looked very good. Intel's the ugly one because the worry is many investors are expecting higher corporate spending to offset potential weakness in consumer spending.

We're seeing global rate increases, which is having an impact on global bonds and that affects stocks here. American investors are becoming more concerned about how higher rates will affect consumer spending.

The worry with Intel is many investors are expecting higher corporate spending to offset potential weakness in consumer spending for GDP growth this year.

Bottom line, the consumer is extremely healthy and sentiment is good. I believe they will be spending heavily this year, and that December retail sales will beat expectations.

The Consumer Price Index came in 'in line' with expectations, which calmed investors. And the Fed commented that they're not particularly concerned about inflation and that they don't seem to be any more aggressive in raising rates.

Investors are becoming more concerned about how higher rates will affect consumer spending. The market can't move higher with this threat of rate hikes and inflation hanging over its head.