Online shopping hints at stock market rise?
Online sales rose 14 percent in August compared to July, according to e-commerce tracking firm comScore Networks Inc. That far surpasses the 0.4 percent increase for total retail sales in August as measured by the U.S. Department of Commerce. According to comScore, consumers spend about $10 billion to $11 billion online every three months, and will spend about $45 to $50 billion online this year (excluding travel, which raises the total to around $85 billion). Online spending in the first quarter of this year, excluding travel, was 30 percent higher than in the first quarter of 2001. In June and July, online spending was up about 20 percent over the same months in 2001, and online sales in August were up 40 percent over August 2001.

comScore has identified an interesting corollary between online spending trends and the stock market: online spending patterns foretell stock-market gyrations. Data from January 2001 to January 2002 shows that changes in the year-over-year growth of online spending preceded the movement of the Dow Jones industrial average by about two weeks, he says.

You can participate in the online spending boom - and reduce your state tax burden at the same time. This online store sells a variety of exclusive vitamins, nutritional supplements and personal care products, and because it has no physical presence in Tennessee it is not required to charge you the state or local-option sales tax. On a $30 purchase, you'll save about $2.70. That's $2.70 that Don Sundquist, Bob Rochelle and Jimmy Naifeh won't ever get to spend. Boo hoo for them. Yay for you. A bonus: A portion of your purchase price will go to fund the expansion and ongoing operation of this web site.