Consumer Discretionary ETFs Retreat on Poor Earnings, Lower Confidence

Consumer discretionary stocks and sector related exchange traded funds were the worst hit area of the markets on Tuesday.

It follows after some consumer names revealed poor quarterly earnings and a monthly survey revealed lower consumer confidence in October.

On Tuesday, the Consumer Discretionary Select Sector SPDR (NYSEArca: XLY), Vanguard Consumer Discretionary (NYSEArca: VCR) and Fidelity MSCI Consumer Discretionary Index (NYSEArca: FDIS) declined 0.9%.

Disappointing corporate results dragged on the sector. Athletic apparel maker Under Armour (NYSE: UA) shares plunged 13.0% after revealing its slowest quarterly sales growth in six years, Reuters reports.

Home appliance maker Whirlpool (NYSE: WHR) shares decreased 12.5% showed revenue declined on a strong dollar.

The weakness in Whirlpool has been particularly hard on homebuilder-related ETFs, which include home furnishing exposure, as the appliance maker is one of the largest components in these funds. The SPDR S&P Homebuilders ETF (NYSEArca: XHB) retreated 3.1% and the iShares U.S. Home Construction ETF (NYSEArca: ITB) fell 2.5% on Tuesday.