"Right now we're all a little afraid," he said. "If there's anyone getting up in the morning and not saying 'uh oh,' then I'd like some of that medication."

Apparel chain J. Crew has initiated a company-wide hiring freeze Drexler revealed, even during the holiday season, which he said falls on a terrible calendar year retail selling-wise. "If someone wants to hire someone, someone's got to leave," Drexler said.

Even the New York City market, which was a holdout compared to the rest of the country, is suffering after European tourists stopped coming here as the dollar picked up steam compared to their currencies. "Traffic is pretty much miserable everywhere," Drexler said. "America has been fat and happy for 10 years. No more."