- A better-than-expected read from Foot Locker (FL +5.1%) on comparable sales in March and April is a shot in the arm to retail stocks
- The excuse heard across the sector that late tax refunds impacted February sales is getting some validation from the Foot Locker numbers. There's also some favorable earnings reports and analyst upgrades that are helping to boost sentiment.
- The S&P Retail ETF (NYSEARCA:XRT) is up 1.62% on the day, compared to the 0.51% gain for the S&P 500 Index. Notable gainers include apparel sellers Destination XL Group (DXLG +5.9%), Abercrombie & Fitch (ANF +7.4%), Express (EXPR +6.6%), Genesco (GCO +5.4%), Ascena Retail Group (ASNA +5.6%), Guess (GES +4.9%), American Eagle Outfitters (AEO +4.8%), Buckle (BKE +4.7%), L Brands (LB +2.7%), J Jill (JILL +1.1%), Nordstrom (JWN +3%) and The Children's Place (PLCE +3.3%).
- The rally is somewhat broad, with Wal-Mart (WMT +1.1%), Target (TGT +1.5%), Staples (SPLS +1.7%), Macy's (M +3.4%) and Best Buy (BBY +2.3%) also heading in the right direction.
- Retail ETFs: XLY, XRT, VCR, RTH, RETL, FXD, IYC, FDIS, SCC, RCD, UCC, PMR, CNDF, FTXD, JHMC.
- Now read: Macy's Vs. Amazon (NASDAQ:AMZN) - Which Company Is More Price Competitive?
Original article