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Consumer Discretionary Select Sector SPDR ETF (XLY)

- NYSEARCA
  • Jun. 26, 2014, 11:44 AM
    • Ikea says it plans to increase the minimum wage for its U.S. retail workers by an average 17% starting next year, a decision that may add to pressure on retailers and fast-food companies that have not raised wages, particularly the largest holdouts, such as McDonald’s (MCD -0.1%) and Wal-Mart (WMT -0.7%).
    • Business opponents say raising the minimum wage would add as much as hundreds of millions of dollars to costs; Ikea is presenting the move as good for employee well-being, and says it will not raise prices to offset the new costs.
    • Earlier this year, Gap said it would raise its minimum hourly rate for U.S. employees to $9 in 2014 and $10 in 2015.
    • ETFs: XLP, XLY, VDC, XRT, VCR, RTH, FXG, RETL, IYK, FXD, FDIS, RHS, PMR, FSTA, RCD, UGE, SZK
    | 22 Comments
  • Jun. 24, 2014, 12:07 PM
    • Channel checks from Deutsche Bank indicate the promotional cadence in the retail sector has been dialed back a notch from the level seen in Q1.
    • The investment firm sees less promotional activity from retail beasts Wal-Mart (WMT +0.3%) and Target (TGT +0.2%) - while department store chains such as Kohl's (KSS +0.7%), Nordstrom (JWN +0.6%), and Dillard's (DDS -0.1%) have also shown some improvement.
    • J.C. Pennney (JCP +1%) is a tougher nut to crack for DB with its radical changes in pricing strategy making the year-over-year comparison less informative.
    • Related ETFs: XLY, XRT, VCR, RTH, RETL, FXD, FDIS, PMR, RCD
    | Comment!
  • May. 21, 2014, 9:35 AM
    • Retail analysts are looking at underlying factors influencing consumer demand after two of the most resilient companies in the sector missed with their latest earnings report and guided full-year EPS down.
    • Setting aside the weather, promotions, data breaches, and F/X swings which influenced some of the retail heavyweights -  TJX Companies (consumer trade-down) and PetSmart (consumer loyalty) were the U.S. bellwethers which turned in the wrong direction.
    • Related ETFs: XLY, XRT, VCR, RTH, RETL, IYK, IYC, FXD, SCC, FDIS, UCC, PMR, RCD, UGE, SZK
    | Comment!
  • May. 20, 2014, 10:21 AM
    • Amazon (AMZN +1.7%) trades higher amid a tough day in retail.
    • There's nothing concrete on the table, but some analysts think the company has been stealing some market share from major retailers in Q1 and Q2 as consumers continue to evolve their shopping habits. Staples (SPLS -10%) and Office Depot (ODP -1.5%) come to mind.
    • Starbucks (SBUX -1.3%) CEO Howard Schultz seems to have called the retail slide with his perception that a "seismic shift" toward online and mobile is beyond the tipping point (FBN interview, SBUX conference call).
    • Related ETFs: XLP, XLY, VDC, XRT, VCR, RTH, RETL, FXG, IYK, IYC, FXD, SCC, FDIS, UCC, RHS, PMR, FSTA, RCD, UGE, PSL, PEZ, PSCC, PSCD, SZK
    | 3 Comments
  • May. 20, 2014, 9:31 AM
    • Major retailers TJX Companies, Urban Outfitters, Home Depot, and Dick's Sporting Goods are all in with quarterly reports that missed expectations.
    • Retail analysts note the sector is having a tough time shrugging off the slow traffic patterns and heightened promotional stance that afflicted store chains during the winter. Underneath one-time factors such as F/X and weather, there are still signs of a cautious and thrifty consumer.
    • More companies have lowered Q2 and full-year guidance than raised over the last two weeks.
    • Related ETFs: XLY, XRT, VCR, RTH, RETL, IYK, FXD, FDIS, PMR, RCD, UGE, PEZ, PSCD, SZK
    | Comment!
  • May. 13, 2014, 9:00 AM
    • A disappoint read on retail sales from April's report could reset some expectations in the sector after analysts overestimated consumer demand.
    • The electronics and appliance store category (RSH, BBY, CONN, WHR) saw sales fall 2.3% M/M and 1.5% Y/Y.
    • Clothing and clothing accessory stores (AEO, GPS, BKE, TLYS, ANF, ANN, LB, ARO, GES, CATO) registered a 1.2% M/M and 1.1% Y/Y gain in sales which didn't show the snap-back from soft winter traffic patterns forecast by some.
    • Related ETFs: XLY, XRT, VCR, RTH, RETL, FXD, FDIS, PMR, RCD, PEZ, PSCD
    | 2 Comments
  • May. 2, 2014, 12:38 PM
    • Retail employment increased by 28K jobs in April month-to-month and 241K year-over-year, according to the NRF.
    • Chief Economist Jack Kleinhez is putting more stock in the jobs report as a forward-looking indicator of consumer demand than the recent read on GDP.
    • He says a rebound in economic activity is underway.
    • Related ETFs: XLP, XLY, VDC, XRT, VCR, RTH, RETL, FXG, IYK, IYC, FXD, SCC, FDIS, UCC, RHS, PMR, FSTA, RCD, UGE, PSL, PEZ, PSCC, PSCD, SZK
    | Comment!
  • Apr. 22, 2014, 11:07 AM
    • ICSC expects monthly retail comparable-store sales to increase 3.5% to 4.0% in April compared to last year.
    • The forecast accounts for a slow start to the period of warmer weather and the late Easter this year which is a boost for April sales.
    • What to watch: Reports on retail sales for April indicate some pent-up demand from a slow Q1 has been unleashed. Analysts think the readings on the first few weeks in May could be the most critical of the year in determining if U.S. consumers are willing to come back out in force.
    • Related ETFs: XLY, XRT, VCR, RTH, RETL, FXD, FDIS, PMR, RCD, PEZ, PSCD
    | Comment!
  • Apr. 14, 2014, 9:32 AM
    • Retail sales showed some vibrancy in March led by solid gains from building material and garden equipment sellers (HD, LOW) and general merchandise chains (COST, WMT, CASY, TGT). A revision to February's retail sales mark also bodes well for the retail sector.
    • Sales at electronics and appliciane stores (BBY, CONN, HGG) moved in the wrong direction during the month, falling 1.6% M/M and 0.7% Y/Y.
    • Related ETFs: XLY, XRT, VCR, RTH, RETL, IYK, FXD, FDIS, PMR, UGE, RCD, PEZ, SZK, PSCD
    | 3 Comments
  • Apr. 10, 2014, 1:38 PM
    • Retail traffic slowed 1% during March with a shift of Easter to later in the calendar a factor, says research firm Euclid.
    • Analysts say the slow month sets up April as the make-or-break month for pent-up shopper demand to be unleashed as warmer weather finally prevails.
    • A strong report from Costco on March sales is one of the few signs in the sector that momentum could be building.
    • ICSC expects April retail sales to improve 3.5% to 4%.
    • Related ETFs: XLY, XRT, VCR, RTH, RETL, FXD, FDIS, PMR, RCD, PEZ, PSCD
    | Comment!
  • Apr. 4, 2014, 1:46 PM
    | 1 Comment
  • Mar. 13, 2014, 11:44 AM
    • Moody's notes retail sales in February were strongest in less discretionary categories like food while the underlying shift to online shopping by consumers continues.
    • The research firm expects that it's unlikely that all the lost sales in February due to weather will be recovered and thinks Q1 results will trail current forecasts.
    • Retail sales were only up 1.3% in February from a year ago. That sluggish mark of forward progress has many retail analysts siding with Moody's that there is more than just a bad stretch of weather going on in the U.S.
    • Related ETFs: XLY, XRT, VCR, RTH, RETL, FXD, FDIS, PMR, RCD, PEZ, PSCD
    | Comment!
  • Mar. 6, 2014, 8:37 AM
    | 4 Comments
  • Feb. 28, 2014, 4:29 PM
    | 3 Comments
  • Feb. 13, 2014, 3:29 PM
    • The National Retail Federation's delivers a mixed read on the January Retail Sales. The group notes that although severe winter weather was a major factor in the flat seasonally-adjusted growth rate, the high level of jobless claims and slow consumer spending trends suggest larger macroeconomic issues are also in play.
    • "No one can jump to any solid conclusion until we shovel out of the snow," concludes the NRF.
    • Related ETFs: XLY, XRT, VCR, RTH, RETL, FXD, FDIS, PMR, RCD, PEZ, PSCD
    | Comment!
  • Feb. 11, 2014, 9:35 AM
    • ICSC attributes the weekly dip in retail sales to weather patterns, but a few bright spots did emerge.
    • Despite slow traffic patterns, categories which showed strength included wholesale clubs (WMT, COST, PSMT) and furniture stores (LZB, ETH, HVT, PIR, BBBY)
    • For the full month, the research group sees monthly comparable-store sales growth of between 3.0% and 3.5%. That mark reps solid sales growth for the period compared to prior forecasts, although ICSC warns the figure could change again with the weather.
    • Related ETFs:  XLY, XRT, VCR, RTH, RETL, IYK, FXD, FDIS, PMR, UGE, RCD, SZK, PEZ, PSCD
    • ICSC PR
    | Comment!
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XLY Description
The Consumer Discretionary Select Sector SPDR® Fund, before expenses, seeks to closely match the returns and characteristics of the Consumer Discretionary Select Sector Index. Our approach is designed to provide portfolios with low portfolio turnover, accurate tracking, and lower costs.
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Sector: Services
Country: United States
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