Harry Winston Diamond Corporation HWD

secular change in buying habits..sell HW

[greatemailslob]

from the Gartman letter:
We suspect that the likes and highs of Tiffany’s, or Harley

Davidson, or Nordstroms will never be seen again in

our lifetime, and that the Wal-Marts and Family Dollar

Stores will be the long standing beneficiaries. As Ms.

Kathryn Tesija, the Executive VP at Target said in an

interview with “The Wall Street Journal”,

The current economic conditions have created

a fundamental shift in shopping behavior [and]

we are allocating more shelf space to

nondiscretionary categories.

Target “gets it. Tiffany’s can’t “get it” even if

management tries for they are on the wrong side of

economic history. Small banks and Family Dollar

stores cannot help but be on the right side of the trade

as demand deposits soar at the former and as what

discretionary spending does develop will find its way

first to the lowest rung of the retail ladder. As we are

won’t to say, we know few things about recessions but

we know this, “Retail goes downscale.” In this

instance, however, even post-recession we suspect

that retail will remain down scale and that savings rates

will rise, with the small banks being the beneficiaries.