Major retailers' earnings results suggest consumers are on the hunt for savings as discretionary income is pinched by prolonged inflation. Still, names like Abercrombie and Fitch (ANF) delivered strong quarters against this backdrop. Alex Mill chairman and former Gap (GPS) CEO Mickey Drexler joins Asking for a Trend to discuss the current state of retail.

Drexler characterizes retail as "selectively good," not "all or nothing." He highlights that inflation is "still a nightmare" and claims the government does not have agents going to supermarkets and fashion stores to shop. The pricing situation in the designer apparel sector is particularly "stunning" and doesn't seem to be letting up, he says. The former Gap CEO adds that if he were a consumer shopping in stores for apparel today, he would go online and see where he could find the item at a better price.

As a trend emerges in which online retailers establish brick-and-mortar stores, Drexler advises against following trends, as one eventually has to see a trend through to its end.

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This article was written by Gabriel Roy