Should I Buy Retail Stocks Now?
A day after the biggest stock market drop since the financial crisis in 2008, stocks were soaring again on Tuesday -- and then falling again on Wednesday and Thursday. The stock market has seen drastic rises and falls over the past two weeks as COVID-19, the disease that the coronavirus causes, has spread internationally and fears have emerged about how this will affect the global economy.
It's clear how this could affect companies that deal with travel or others that have a strong international presence, but the effect is being felt in many more industries, including retail.
One of the reasons retail investors might be worried is that U.S. consumers are starting to stay home. Major centers for mingling, such as sports arenas and malls, are already seeing fewer people coming out to get together in light of contagion fears. With fewer shoppers hitting the shopping strip, companies that rely on foot traffic are going to suffer.
Source Fool.com
