U.S.

- Following a solid first-quarter contribution, consumer spending remained expansionary as retail sales continued to gain ground in April.

. Sales posted a gain of 0.4 percent in April due largely to the third consecutive increase in building materials, which grew 6.9 percent for the month.

. Despite a slip in core retail sales, consumer spending should continue to propel the recovery forward.

- The manufacturing sector’s V-shaped recovery remains intact.

. Led by improving global demand and domestic inventory restocking following an unusually long drawdown, total industrial production expanded further in April, posting a 0.8 percent gain.

International

- At the start of the week, global financial markets cheered news of a European Union-led plan to halt the sovereign debt crisis that was spiraling out of control in Greece and threatening the broader European economy.

. As a result, government borrowing costs came back down to a more normal level.

- With all eyes on Europe, significant developments across the English Channel went somewhat unnoticed.

. After a disappointing first quarter for economic growth, it appears prospects for the U.K. economy are looking up.

For https://www.wellsfargo.com/downloads/pdf/com/research/economic_commentary/efc05142010.pdf