I have updated the macro numbers for April. Retail numbers continued to remain strong for the month pf April compared to last April however very minimal growth from prior month March numbers. Americans continued to stock pile money in low rate savings and retail money market accounts. The S&P 500 continued to show strong gains April year over year and up 2.85% from March’s closing data. Looks like the economy weathered the spike up in gas prices, and the FED continued to step on M2 with money supply growing by 435 bln from April 2010 up a whopping 66.8 billion from the prior month of March. April would appear to be the largest single increase of QE2 to date. There continues to be a lot of money on the sidelines in low rate earning accounts, savings, retail, Institutional with a large upward push on the money supply-M2. All signals point to another bull move in the S&P for the two months.
The stock piling of money in low earning accounts may be safe but not a hedge against inflation, the best return and safest haven in this environment is still high yielding dividend MREIT's.