Wal-Mart's Silence Distorts Retail Results

When retailers reported their May same-store sales on Thursday, the numbers fell short of analysts' expectations. Investors, fearful these dismal results signaled a prolonged weakness in consumer spending, poured bucketfuls of red all over the sector, and sending the S&P Retail Index down by as much as 3% during the day.

But lost amid the cacophony was one simple fact: These results may be as skewed as a fun-house mirror, as a result of the absence of Wal-Mart Stores(WMT Quote).

The behemoth, which accounts for a little more than 11% of sales in the U.S. retail market, announced last month that it would no longer report monthly sales -- and it's arguable that the entire sector's results were dragged down as a result. ...