NEW YORK ( TheStreet) -- Although many retailers reported first-quarter earnings results which beat Wall Street's expectations, an ambiguous recovery in consumer spending and confidence will likely put a strain on near-term growth and profitability.On one hand, retail giant Target (TGT - Get Report) said same-store sales in May jumped 1.3%, a hair ahead of expectations as it witnessed a rise in credit card sales, suggesting consumers are more willing to extend themselves. On the other hand, clothing retailers, which are a good indicator of consumer discretionary spending, such as Abercrombie & Fitch (ANF - Get Report) and Hot Topic (HOTT), reported sales that fell short of expectations. Additionally, warehouse giant Costco Wholesale (COST - Get Report) saw an uptick in sales of food, an essential item, and a decrease in the volume of televisions sold in May.
Retailers to Feel Pinch as Shoppers Curtail Spending
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