Can't figure out this economy? Walmart, Home Depot are having trouble, too
Publishing timestamp: 2023-02-26 10:12:46
Summary
Last week, Walmart and Home Depot issued cautious outlooks for US consumer spending in 2023. Despite this, recent inflation and retail sales data show consumer spending to be stronger than expected. The retail sector had its worst week since July 2022, and consumer stocks also performed poorly. The outlook from these two companies sent the Dow and S&P 500 down, and the debate about inflation continues. Goldman Sachs economists expect disposable personal income to grow 6.1% this year, and Morgan Stanley analysts have noted a difference in outlook between the two retailers. The upshot is that there is upside in stocks like Walmart if consumers prove to be healthier than either company's guidance implies.
Sentiment: MIXED
Tickers: TGT, XRT, .DJI, RF, WMT, COST, HD, .SPX,
Keywords: retail industry, target corp, economic events, dow jones industrial average, economy, costco wholesale corp, business news, u.s. economy, s&p 500 index, united states, home depot inc, regions financial corp, spdr s&p retail etf, walmart inc,