As back-to-school shopping season begins, some retail exchange traded funds (ETFs) could get an extra boost. This year, the International Council of Shopping Centers predicts that shoppers will be bargain hunting, and the average household will spend about $450 on school supplies. However the National Retail Federation has a more optimistic forecast that suggests the average family will spend about $563 on back-to-school shopping, reports Stefanie Murray for the Ann Arbor News.
Retail ETFs SPDR S&P Retail (XRT) and Retail HOLDRs (RTH) might receive a much-needed boost from all the extra activity. XRT is down 7.9% year-to-date, and RTH is down 3.4%. These ETFs hold companies where most students would shop, such as Target (TGT), Wal-Mart (WMT) and Costco (COST).
The opinions and forecasts expressed herein are solely those of Tom Lydon, and may not actually come to pass. Information on this site should not be used or construed as an offer to sell, a solicitation of an offer to buy, or a recommendation for any product.