Shoppers Step Back

Despite this excuse, investors have interpreted recent weakness from Wal-Mart as a sign that its effort to target more upscale shoppers by remodeling its stores and remaking its image is falling flat.

"Our remodeling efforts in the Wal-Mart Stores division wrap up during the next two weeks to ensure there is no disruption for our customers during the holiday shopping period," the company said. "Remodeling activities will begin again in late January and will continue into the next fiscal year."

Wal-Mart's issues have long been isolated to it alone, as the widespread spending weakness that many economists have been predicting this year has yet to become a definitive trend among its competitors. October's results suggest that may be changing.

"The next few months are critical," says Perkins.

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