Do as I "say," not as I "save."
Here's the deal:
This recovery?
No deal. Ain't happening.
That's not me saying that. That's companies putting their money on that.
The same companies that tell shareholders they might be cautiously confident... But apparently are far more cautious "than" confident.
Our Charlie Gasparino, who you'll hear from in just a second, the first to report on this phenomenon, echoed now in a Federal Reserve report.
Companies are hoarding cash...Lots of it.
Try nearly two trillion bucks of it, as of the end of march.
That's up 26% from a year earlier, and at levels we haven't seen this high since 1963.
Back then, cash really was king. And having a lot of it on hand really was admired.
Today, it raises only eyebrows.
It makes folks wonder why bosses aren't putting that money to work...Or hiring more folks "to" work ... Expanding into new markets or advancing new technologies?
Where's the wisdom in just piling up dough in a glorified savings account?
That is, unless, you fear you're going to need that cash, and might have to tap that savings account.
Then ... It takes on a whole new meaning. And raises all new worries.
Are businesses hunkering down for something bad coming up?
And are a lot of us doing the same?
News today U.S. Retail sales fell a surprising 1.2% last month ... The first decline in eight months.
Let's not overstate this pause. But let's not understate the worry.
Folks are worried.
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