Santa May Get Sacked by Grumpy Consumer

Anyone paying attention to U.S. consumer is betting on a bleak holiday season.

While inflation concerns of the spring and summer have abated, the troubled housing sector, unsteady stock market and swelling unemployment continue to batter Americans' collective financial psyche and crimp spending. The Federal Reserve is expected to slash its benchmark interest-rate target once again on Wednesday to help get the financial system back into gear -- and lending to buyers and sellers again, at lower rates. But with all the headwinds facing the U.S. consumer, his gloominess is unsurprising.

"A few months ago Santa Claus couldn't afford the gas to come; now his credit card is maxed out," says Vicki Bryan, senior analyst at GimmeCredit. ...