The latest in a string of lousy retail reports came from Nordstrom. The company reported Q1 EPS of $0.26, missing consensus estimates of $0.46 by nearly half. Revenues were flat at $3.25 billion missing expectations of $3.29 billion. Comparable sales dropped -1.7% on estimates of an unchanged print. Company slashed its guidance, and instead of seeing a 0-2% increase in comp sales, JWN now expects -1 to +1% for 2016.

Macy’s Q1 results, indicated a 6% decline in same store sales. Management pointed out that US sales charged to foreign credit cards plunged by 20%.

Taiwan Semiconductor’s shipments of Apple iPhone 6s, iPhone 7 chips for June-Dec. period will likely shrink 70%-80% vs year earlier.

In the world of made up numbers, naturally the Commerce Dept reported this morning that sales at retailers jumped in April by the most in a year. Purchases climbed 1.3 percent last month, the biggest gain since March 2015.

Yesterday Janet Yellen mused that negative interest rates were a possibility in the US. This comes within a week after four other Fed empty suits suggested the “market” was underestimating the prospect for near term Fed Fund increases. Yesterday it Boston Fed President Eric Rosengren and the Kansas City Fed’s Esther George who hinted at a potential consensus between hawks and doves on the Federal Open Market Committee around the need for action. This follows sycophants Atlanta Fed sycophants Dennis Lockhart and San Francisco’s John Williams the prior week.

Any questions on why I see “a mistake” leading to a “market” blow-up is in the cards?