Retail ETFs Could Get a Lump Of Coal | ETF Trends

Retailers feel like they’ve gotten a lump of coal in their stockings, even before the totals are in and exchange traded funds (ETFs) have had a chance to soak in any possible gains.

Christina Cheddar Berk for CNBC says it will be inevitable that retailers are going to see lower holiday sales growth than the past year. An estimated 2.2% year-over-year sales gain just isn’t enough. The traditional Black Friday is only days away and retailers have already slashed their prices. Will shoppers even be interested?

While retailers are slashing prices left and right, bargain hunters are scooping up deals. The retailer does not want to be left with extra inventory at the end of the buying season, however, some insiders think many retailers are holding back their most wanted merchandise for the Black Friday sale day, reports Donna Kato for MercuryNews.com.

So even if Black Friday and the holiday season isn’t in favor of the retail sector, there are lots of upgrades to be had, such as that new plasma TV or the wardrobe makeover you’ve wanted. Sandra M. Jones for The Chicago Tribune reports that many are up against the economic drawbacks that may lead them to closing their wallets despite the bargains. Retailers always tend to do well on Black Friday, however, the early onslaught of sales may have stolen the day’s thunder.

  • Claymore/Robb Report Global Luxury (ROB), down 59.6% year-to-date

Luxury ETF

  • SPDR S&P International Consumer Discretionary (IPD), down 35.2% since Aug. 25 inception

Retail ETF

The opinions and forecasts expressed herein are solely those of Tom Lydon, and may not actually come to pass. Mr. Lydon serves as an independent trustee of certain mutual funds and ETFs that are managed by Guggenheim Investments; however, any opinions or forecasts expressed herein are solely those of Mr. Lydon and not those of Guggenheim Funds, Guggenheim Investments, Guggenheim Specialized Products, LLC or any of their affiliates. 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.