Why Retail Stocks Were Soaring Today
Retail stocks including Gap (NYSE: GPS), Nordstrom (NYSE: JWN), Stitch Fix (NASDAQ: SFIX), Torrid Holdings (NYSE: CURV), Children's Place (NASDAQ: PLCE), and Wayfair (NYSE: W) were all moving higher today after Walmart (NYSE: WMT) delivered better-than-expected results in its second-quarter earnings report.
As the biggest retailer in the world, Walmart has an outsized influence on other retail stocks, and it's also one of the first brick-and-mortar retailers to report earnings, so its results are seen as a harbinger for its smaller peers.
Just weeks ago, Walmart slashed its guidance due to challenges from inflation and excess inventory, an announcement that sent both its stock and those of its peers listed above sliding. You can see the impact from the chart below.
Source Fool.com
