April Retail Sales report was this morning’s big economic release. The Commerce Department announced a 0.9% rise in retail-level sales, matching forecasts. However, with that news also came a secondary reading that excludes more volatile and costly auto transactions. It rose 0.6% when forecasts called for a 0.3% rise. Furthermore, both readings were revised significantly higher for March. These headline numbers show that consumers spent more than previously thought in March and continued spending last month despite high inflation. It appears that bond traders were hoping to see higher prices had slowed consumer spending, indicating weaker economic activity. Since this data failed to appease traders, we are seeing a negative reaction this morning.