They Shoot Retail Stocks Don’t They?
As I look at the stock market action today and recently, it is hard to miss the fact that retail stocks are getting killed. GoPro (GPRO) has been annihilated for a while now but Fitbit (FIT) is joining in as are many others.
As I look at my screen today: FIT -11%, GPRO -7%, Michael Kors (KORS) -5.6%, Lululemon Athletica (LULU) -7.4%, Under Armour (UA) -6.6%, Vipshop (VIPS) -30%, Nordstrom (JWN) -20% and on and on. I wonder what this is saying about the Christmas season. They shoot horses retail stocks don’t they?
The selling on Wall Street resumed today. One word comes to mind to describe it…relentless. Declining stocks outnumbered advancing stocks 8.5 to 1. Declining volume however led advancing volume 18 to 1. Now that ratio is pretty negative but in terms of declining volume, not yet close to the peaks in August selling.
All the indices were up at the beginning of the session but started to fade and went negative after about 2 hours. So after the S&P500 was up 19 points, it ended down 27 points for the day. This looks like and acts like a reversal day but we’ll need to see follow-thru.