Vanguard Consumer Staples ETF (VDC) - NYSEARCA
  • Dec. 4, 2015, 10:29 AM
    • Economists think that the combination of a stronger U.S. jobs environment and sub-$2 gas prices could improve some consumer spending habits, although not as much for traditional big box retailers, apparel chains, and electronics stores as for specialty retailers selling lower-end personal care, housing, and decor items. Though middle-income and low-income consumers continue to be thrifty with major purchases (logo apparel, gadgets), there have been signs in recent earnings reports of strength in everyday items such as shampoo, mattresses, and underwear.
    • That trend could benefit a variety of chain stores with an U.S. focus including Five Below (NASDAQ:FIVE), Ulta Salon (NASDAQ:ULTA), TJX Companies (NYSE:TJX), Dollar General (NYSE:DG), Ross Stores (NASDAQ:ROST), Kirkland's (NASDAQ:KIRK), Sally Beauty Holdings (NYSE:SBH), Michaels Companies (NASDAQ:MIK), Party City (NYSE:PRTY), and even Mattress Firm (NASDAQ:MFRM).
    • The bump in consumer staples spending could provide a lift to Procter & Gamble (NYSE:PG), Kimberly-Clark (NYSE:KMB), and Clorox (NYSE:CLX) as well for the U.S. side of their business.
    • Related ETFs: XLP, VDC, FXG, RHS, FSTA, PSL, PSCC
    | Dec. 4, 2015, 10:29 AM | 5 Comments
  • Dec. 3, 2015, 1:06 PM
    | Dec. 3, 2015, 1:06 PM | 13 Comments
  • Nov. 29, 2015, 11:32 AM
    | Nov. 29, 2015, 11:32 AM | 31 Comments
  • Nov. 27, 2015, 4:31 AM
    • The shaky condition of U.S. retail will be put to the test this weekend, when stores across the country roll out their Black Friday specials.
    • About 135.8M Americans are expected to shop in stores or online over the four-day weekend, according to the National Retail Federation, but the amount they've spent has declined over the past two years, dropping 11% to $50.9B in 2014.
    • The forecast for frugal shopping also got a boost on Wednesday, when Commerce Department figures showed household spending rose less than expected in October.
    • ETFs: XLP, XLY, VDC, XRT, VCR, RTH, PBJ, RETL, PEJ, IYK, FXG, IYC, SCC, FXD, RHS, UCC, PMR, UGE, RCD, PSL, PSCC, SZK, FDIS, FSTA, PSCD, PEZ
    | Nov. 27, 2015, 4:31 AM | 6 Comments
  • Nov. 25, 2015, 9:26 AM
    • The average price for a gallon of gas in the U.S. has now dropped to $2.06 per gallon - a mark that is 27% lower than where gas prices stood heading into the holiday period last year. Despite the extra dollars in the wallets of consumers, most forecasts for holiday retail sales are on the modest side (below 4%).
    • The extended period of sub-$3 gas prices in the U.S. hasn't exactly lit consumer spending across broad retail on fire (just ask Wal-Mart) - although it has stoked auto sales for the Detroit Three (GM, F, FCAU). The regional casino sector (ISLE, PENN, BYD, ERI, MTN, MCRI) and cruise line stocks (NCLH, RCL) have also benefited more than major chain stores. Some have suggested that lower gas prices are also an understated driver for Starbucks (NASDAQ:SBUX) and Netflix (NASDAQ:NFLX) which both score high on customer stickiness.
    • What next? Seeking Alpha's Stock Pitch Contest on retail is still open until November 30 amid the reset on consumer spending expectations. Current long ideas include PLAY, FRAN, CASY, SKX, WMT, PSUN, HGG, PRTY, TJX, TA, VSTO - while short bets on WMAR, TIF, RT, AMZN, UA, LB, and OUTR are on record.
    • Related ETFs: XLP, XLY, VDC, XRT, VCR, RTH, RETL, FXG, PBJ, IYK, IYC, FXD, PEJ, FDIS, RHS, FSTA, SCC, UCC, RCD, PMR, PEZ, UGE, PSL, PSCC, PSCD, SZK, BITE.
    | Nov. 25, 2015, 9:26 AM | 49 Comments
  • Nov. 3, 2015, 3:49 PM
    • U.S. auto sales soared in October with the Detroit Three (F, GM, FCAU) all showing double-digit gains from a year ago. An extra selling weekend helped traffic, while low gas prices drove sales for SUVs and trucks.
    • The annual selling rate came in at 18.2M for the month to sail past almost all estimates. Japanese automakers performed strong, while German brands performed better than expected after some spillover from the Volkswagen cheating scandal was anticipated.
    • If there's a catch, it might be what the crowding out impact is on broad retail as consumers take on larger auto payments. Retail sales have disappointed in recent months with heavyweights such as Wal-Mart (NYSE:WMT), Target (NYSE:TGT), Best Buy (NYSE:BBY), and Staples (NASDAQ:SPLS) unable to pull off the comps the auto sector is rolling out.
    • U.S. auto sales reports
    • Related ETFs: XLP, XLY, VDC, XRT, VCR, RTH, RETL, FXG, PBJ, IYK, IYC, FXD, PEJ, FDIS, RHS, FSTA, SCC, UCC, RCD, PMR, PEZ, UGE, PSL, PSCC, PSCD, SZK
    | Nov. 3, 2015, 3:49 PM | 43 Comments
  • Sep. 22, 2015, 1:34 PM
    • Vanguard Consumer Staples ETF (NYSEARCA:VDC) announces quarterly distribution of $2.3960.
    • 30-Day Sec yield of 2.53% (as of 9/21/2015).
    • Payable Sept. 29; for shareholders of record Sept. 25; ex-div Sept. 23.
    | Sep. 22, 2015, 1:34 PM | 11 Comments
  • Sep. 15, 2015, 5:41 AM
    • Retail sales for August will be released later today in one of the most highly-anticipated economic releases of the month. Sales are expected to rise 0.3% to mark a deceleration from the 0.6% gain recorded in July.
    • There's been plenty of discussion in the retail sector on the impact of the shift of the Labor Day weekend into September this year and the slower start for back to school shopping as more consumers shift to online purchasing.
    • Fed-watchers in particular will dissect the August report and any revisions to the July number. A gain of 1% or more in either month could be used to support the case for a rate hike.
    • ETFs: XLP, XLY, VDC, XRT, VCR, RTH, RETL, FXG, PBJ, IYK, IYC, FXD, PEJ, FDIS, RHS, FSTA, SCC, UCC, RCD, PMR, PEZ, UGE, PSL, PSCC, PSCD, SZK
    | Sep. 15, 2015, 5:41 AM | 1 Comment
  • Sep. 3, 2015, 11:08 AM
    • The National Retail Federation voiced its strong opposition to the Labor Department's proposed overtime rules today.
    • The DOL plan calls for a dramatic lift in the pay scale at which OT pay kicks in, $50.4K/YR vs. $23.66K/YR.
    • The "low-margin" retail industry couldn't absorb the extra costs, according to the retail group.
    • Related ETFs: XLP, XLY, VDC, XRT, VCR, RTH, RETL, FXG, IYK, IYC, FXD, FDIS, RHS, FSTA, SCC, UCC, RCD, PMR, UGE, SZK
    | Sep. 3, 2015, 11:08 AM | 3 Comments
  • Sep. 2, 2015, 11:23 AM
    • Retail sales are expected to show negative growth in August on a same-store basis, according to analysis from Thomson Reuters.
    • The research firm sees a 0.2% decline in retail sales and a full percentage point drop if the drug store sector is backed out.
    • Factors that impacted August traffic at stores includes the later Labor Day weekend this year, F/X pain for global sellers, and lower gas prices for chains with pumps.
    • Mall retailers are expected to report soft traffic for the month as well as teens continue to be a hard group to pin down with cheap chic replacing margin-rich logo assortment.
    • Key retail stocks: COST, GPS, TGT, WMT, ZUMZ, BKE, ARO, AEO, ANF.
    • Related ETFs: XLP, XLY, VDC, XRT, VCR, RTH, RETL, FXG, PBJ, IYK, IYC, FXD, PEJ, FDIS, RHS, FSTA, SCC, UCC, RCD, PMR, PEZ, UGE, PSL, PSCC, PSCD, SZK
    | Sep. 2, 2015, 11:23 AM | 2 Comments
  • Aug. 31, 2015, 10:44 AM
    • Higher wages in the U.S. and a lower level of gas prices are giving a boost to consumer spending in a trend that may continue even with equities markets in flux, notes Retail Dive.
    • Most retail categories are showing positive year-over-year growth.
    • The August read on consumer spending will include a bulk of the crucial back-to-school season, but could be influenced negatively by the later Labor Day weekend this year.
    • Related ETFs: XLP, XLY, VDC, XRT, VCR, RTH, RETL, FXG, IYK, IYC, FXD, FDIS, RHS, FSTA, SCC, UCC, RCD, PMR, UGE, PEZ, PSCD, SZK
    | Aug. 31, 2015, 10:44 AM | 3 Comments
  • Aug. 12, 2015, 4:27 PM
    • The Panama Canal Authority plans to restrict the amount of cargo ships will be allowed to carry through the canal beginning on September 8.
    • The action is a result of the low level of water in Gatun Lake and Alajuela Lake resulting from this year's El Nino phenomenon.
    • Citigroup has its eyes on the development, noting retailers with potential exposure this fall to reduced shipping to East Coast ports include Carter's (NYSE:CRI), Columbia Sportswear (NASDAQ:COLM), Wolverine Worldwide (NYSE:WWW), Staples (NASDAQ:SPLS), and Steve Madden (NASDAQ:SHOO).
    • Panama Canal Advisory (.pdf)
    • Related ETFs: XLP, XLY, VDC, XRT, VCR, RTH, RETL, FXG, PBJ, IYK, IYC, FXD, PEJ, FDIS, RHS, FSTA, SCC, UCC, RCD, PMR, PEZ, UGE, PSL, PSCC, PSCD, SZK
    | Aug. 12, 2015, 4:27 PM | 1 Comment
  • Aug. 8, 2015, 11:02 AM
    • Retail sales take center stage next week with a rebound for July expected after the headline number fell in June.
    • The consensus estimate is for a 0.5% M/M increase, although some projections range as high as 1%. A reading in negative territory could rattle markets.
    • Only handful of retail chains still issue monthly sales reports, but many of those that do reported positive growth for July. Costco (NASDAQ:COST), Fred's (NASDAQ:FRED), L Brands (NYSE:LB), Stein Mart (NASDAQ:SMRT), and Rite Aid (NYSE:RAD) all showed pockets of strength. Mall retailers Cato (NYSE:CATO), Zumiez (NASDAQ:ZUMZ), and Buckle (NYSE:BKE) were disappointments. Full Thomson/Reuters analysis (.pdf)
    • Two new factors emerged last week which could impact the U.S. retail sales print: (1) U.S. auto sales topped estimates for July; (2) several retailers warned later sales tax holidays in key states pushed back-to-school spending into August from July.
    • There's also the question if Wal-Mart's (NYSE:WMT) Amazon Prime Day counterpunch stoked extra sales. The Bentonville giant and Amazon (NASDAQ:AMZN) both reported strong responses.
    • On a broader scale, the retail sales report will factor into forecasts on when the Federal Reserve will lift interest rates.
    • Related ETFs: XLP, XLY, VDC, XRT, VCR, RTH, RETL, FXG, PBJ, IYK, IYC, FXD, PEJ, FDIS, RHS, FSTA, SCC, UCC, RCD, PMR, PEZ, UGE, PSL, PSCC, PSCD, SZK
    | Aug. 8, 2015, 11:02 AM | 10 Comments
  • Jul. 22, 2015, 9:14 AM
    • The National Retail Federation lowers its forecast for 2015 retail sales to 3.5% from 4.1%.
    • The organization is playing some catch-up after recent retail sales reports have disappointed.
    • The NRF pegs retail sales growth at 2.9% in 1H and projects a 3.7% gain over the next five months.
    • Factors which have cut into sales this year include a strong U.S. dollar and a "deflationary" retail environment this year, says NRF Chief Economist Jack Kleinhenz.
    • Related ETFs: XLP, XLY, VDC, XRT, VCR, RTH, RETL, FXG, IYK, IYC, FXD, FDIS, RHS, FSTA, SCC, UCC, RCD, PMR, PEZ, UGE, SZK.
    | Jul. 22, 2015, 9:14 AM
  • Jul. 14, 2015, 1:39 PM
    • The question of when millennials will open up their checkbooks and stop sharing is posed by Bobbi Rebell in a Reuters piece.
    • The generation seems to unabashedly share houses (AirBnb), cars (Uber), car rentals (Zipcar), and entertainment services (Netflix).
    • Some think millennials aren't wired to covet non-electronics possessions, while others attribute the trend to a tight market for recent college graduates with high student loan balances.
    • The authors of Millennial Majority argues the latter in making the case spending by millennials will pick up dramatically as their resources improve.
    • One sector desperately looking for a millennial bounce is apparel which continues to trail broad retail. Companies such as Gap (NYSE:GPS), L Brands (NYSE:LB), Abercrombie & Fitch (NYSE:ANF), and Ann (NYSE:ANN) have had a few misfires due to the peculiarity of the group.
    • The oldest millennials are now in their lower thirties which should mean the question will be answered soon.
    • Related ETFs: XLP, XLY, VDC, XRT, VCR, RTH, RETL, FXG, IYK, IYC, FXD, FDIS, RHS, FSTA, SCC, UCC, RCD, PMR, UGE, PEZ, PSL, PSCC, PSCD, SZK
    • Previously: Retail sales: No help from department stores (Jul. 14 2015)
    • Previously: June Retail Sales miss expectations (Jul. 14 2015)
    | Jul. 14, 2015, 1:39 PM | 17 Comments
  • May 18, 2015, 1:07 PM
    • Societe Generale is out with a note in which it dissects the impact of higher interest rates on stocks.
    • The investment firm notes the Consumer Staples ETF (NYSEARCA:XLP) boasts a dividend yield of 2.5% which becomes less attractive as rates march upward.
    • Individual consumer staples stocks identified by SG as having the strongest correlation to swings in the 10-year Treasury yield are Colgate-Palmolive (NYSE:CL), Costco (NASDAQ:COST), McKesson (NYSE:MCK), and Brown-Forman (BF.A, BF.B).
    • Consumer Staples ETFs: VDC, FXG, RHS, FSTA, PSL, PSCC.
    | May 18, 2015, 1:07 PM | 8 Comments
VDC Description
Vanguard Consumer Staples ETF seeks to track the performance of a benchmark index that measures the investment return of consumer staples stocks.
See more details on sponsor's website
Country: United States
ETF Hub
Find the right ETFs for your portfolio: Visit Seeking Alpha's ETF Hub