Street Signs

And we'll drink and dance with one hand free
And have the world so easily
And oh we'll be a sight to see
Back in the high life again
--Steve Winwood

Over the past couple of months, I've noticed much less traffic on the roads. The reduction seems much more pronounced on local streets. I would 'think' local street traffic volume is a better proxy for consumer spending tendencies than highway traffic.

Far fewer people seem out and about to me.

Data from the National Restaurant Association lend support to my anecdotal observations, with its Restaurant Performance Index clocking in below 100 for the 20th consecutive month. Any reading below 100 indicates contraction.

Local street traffic reflects activity at the retail end of supply chains. A dearth here seems a harbinger for further slowdowns upstream.