Why Retail Stocks Plunged Tuesday
Retail stocks including Bed Bath & Beyond (NASDAQ: BBBY), Macy's (NYSE: M) and Nordstrom (NYSE: JWN) took a dive Tuesday after Kohl's (NYSE: KSS) kicked off department-store earnings season with a troubling third-quarter earnings report. Kohl's, which is seen as a bellwether mid-market mass merchandiser, dialed back its earnings guidance sharply for the year, and also came up short on the top line.
As a result, Kohl's stock fell 19%, while Bed Bath & Beyond, Macy's and Nordstrom dropped 7%, 11%, and 6% respectively. The SPDR S&P Retail ETF (NYSEMKT: XRT), which tracks the sector, was off 2% for the day.
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Source Fool.com
