Wall Street: Mall traffic improves

New York City According to a Wall Street analyst, mall traffic has improved even though consumer spending still remains tough.

Adrienne Tennant of Friedman Billings Ramsey & Co. said in a client note that consumers are hitting the malls nationwide, trying to find fashionable bargains as spring weather approaches.

"We remain optimistic that if the weather continues to break to spring-like temperatures, sales trends may pick up," Tennant said. "We believe March is exceeding initial expectations."

Tennant said there is pent-up demand, especially in the teen sector. Traffic has improved, especially at teen retailers American Eagle Outfitters and Aeropostale, she said.

Specifically, American Eagle's focus on fashion, especially dresses, is taking market share from other teen retailers, said Tennant, who rates the stock "Outperform."

Meanwhile, Gap's Old Navy segment has also been stronger-than-expected, since the company rolled out a new advertising campaign in March.

Abercrombie & Fitch's traffic has lagged compared to other retailers, Tennant said, as the company typically doesn't offer promotions or clothing at clearance prices.

"We did not see a significant increase in markdown merchandise from prior weeks," she said.