Rich buying luxuries again; everybody else buying food


NEW YORK (AP)

High gas prices are driving a wider wedge between the wealthy and everybody else.

The rich are back to pre-recession splurging: Saks Fifth Avenue and Nordstrom customers are treating themselves to luxury items like $5,000 Hermes handbags and $700 Jimmy Choo shoes, and purchasing at full price.

At Target and Walmart, shoppers are concentrating on groceries and skipping little luxuries.

BJ's Wholesale Corp. said Wednesday that customers are buying more hamburger and chicken and less steak and buying smaller packs to save money.