Consumer Discretionary ETFs Retreat on Poor Earnings, Lower Confidence

“We’ve had some mixed earnings today and the market right now is digesting earnings and positioning itself ahead of the Fed meeting next week,” Jeff Zipper, managing director for investments at Private Client Reserve at U.S. Bank, told Reuters.

Further dragging on consumer cyclicals, the Consumer Confidence Index showed a 98.6 reading this month, reflecting a dip in consumers’ assessment of current business conditions and employment prospects, after rising in September to 103.5, its highest reading since January 2015, the Associated Press reports.

“Consumer confidence retreated in October, after back-to-back monthly gains,” Lynn Franco, director of economic indicators at The Conference Board, told CNBC. “Consumers’ assessment of current business and employment conditions softened, while optimism regarding the short-term outlook retreated somewhat. However, consumers’ expectations regarding their income prospects in the coming months were relatively unchanged.”

For more information on the consumer sector, visit our consumer discretionary category.

Consumer Discretionary Select Sector SPDR (NYSEArca: XLY)