Barron’s notes that those two stocks recently delivered decent earnings but reacted poorly to the news. Rival retail ETFs struggling at the hands of sliding apparel sales include the SPDR S&P Retail ETF (NYSEArca: XRT) and the PowerShares Dynamic Retail Portfolio (NYSEArca: PMR). PMR follows a factor-based index, which weights components based on price momentum, earnings momentum, quality, management action and value.
Related: Amazon in Focus for Retail ETFs
“Retail is one of my four key market sectors, along with technology, home building and financials, that help gauge the health of the overall market. Each is now lagging the broad market to some degree to give a warning sign for the market and, by extension, to the economy. Retail in particular is lagging significantly as the chart of the SPDR S&P Retail ETF (XRT) shows,” adds Barron’s.
For more information on the retail sector, visit our retail category.
Market Vectors Retail ETF
