read the article on walmart getting pushback from chinese suppliers, this time is for real, that additional 20% is coming to stores near you. the asian supermarket i went to was a a&p location long ago, so supermarket does have cycles. the point is consumer retailers run on a very thin margin. some may not make it out alive.
Thin margins, as mervyn pointed out. And businesses with thin margins don't survive if margins get thinner yet. Higher margin items, relatively speaking, earn the profits. Sure big chains can hang in there with shoppers buying the staples, but only for so long before they need shoppers to grab snacks and deli items, etc.
Food and basics will be bought nontheless. Substitution takes place in the same supermarket. Junk food is eaten still, despite all negative effects. its the travel and cars >50k get hit most i think
Exited a long there. Not enough balls to go short off that strength up. Great measured move spot though