NPR had a news piece yesterday about the "new normal". The new normal, was really different. They suspected that Americans would save more and consume less. It was an interesting perception - they thought that the recession had fundamentally altered American shopping habits.
Most companies that use purchase order financing tend to sell goods to retailers. If retail sales are going to stay down, that bodes badly for them.
I have to admit I have my doubts about the new normal. I am not against it, by the way. I just think that retail sales will pick up once things improve, and new retailers will emerge to replace those lost to bankruptcy.
In the meantime, things keep on moving though. It's still tough to get business financing from a bank, thanks to the drought on business loans, so alternative options remain at the forefront.
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