Soft Nike Sales Weigh On Stocks As Holidays Approach

An up and down week for US equities is looking down so far today. Index futures contracts have fallen 0.1%-0.4% so far this morning with Dow Futures leading the way lower. Overseas, most European and Asia Pacific indices are flat heading into the holidays except for the Hang Seng which has dropped 1.7%.

Despite beating the street on earnings, Nike is trading down 11.6% in premarket action this morning. The athletic clothing and footwear producer cut its sales guidance for the current holiday quarter and its fiscal year, blaming the US Dollar and soft consumer demand. Specialty athletic retailers are falling in sympathy including Foot Locker, down 8.5% premarket, and Dicks Sporting Goods, down 4.8% premarket.

The last big data drop of the year is underway. Canada monthly GDP was steady but below expectations in October (0.0% vs street 0.2%). US Core PCE inflation eased slightly more than expected (3.2% vs street 3.3% and previous 3.5%). US durable goods orders surged in November (5.4% vs street 2.2%). US Consumer Sentiment and New Home Sales are due at 10:00 am EST.

With the US 10-year treasury note yield steady just below 3.90%, although up slightly since the latest US data came out, currency trading is relatively quiet today. The bond market closes early at 2:00 pm EST. Gold is up 1.0%, trading near $2,070/oz, Copper is quiet. Energy commodities are picking up today with Crude Oil and Natural Gas both up about 0.75%.

Terms and Conditions:


This information is for Investment Advisors only. The website is for informational purposes only and is not intended to provide a complete description of SIA Wealth Management’s products or services. Past performance is not indicative of future results. It should not be construed as investment advice or relied upon in making an investment decision. Products and services of SIA Wealth Management are only offered in jurisdictions where they may be lawfully offered for sale. The information contained in this Website does not constitute an offer or solicitation by anyone to buy or sell any investment fund or other product, service or information to anyone in any jurisdiction in which an offer or solicitation is not authorized or cannot be legally made or to any person to whom it is unlawful to make an offer of solicitation. All products and services are subject to the terms of each and every applicable agreement. It is important to note that not all products, services and information are available in all jurisdictions outside Canada.

SIA Wealth Management Inc. (SIAWM) specifically represents that it does not give investment advice or advocate the purchase or sale of any security or investment whatsoever. This information has been prepared without regard to any particular investor’s investment objectives, financial situation, and needs. None of the information contained in this document constitutes an offer to sell or the solicitation of an offer to buy any security or other investment or an offer to provide investment services of any kind. As such, Advisors and their clients should not act on any recommendation (express or implied) or information in this report without obtaining specific advice in relation to their accounts and should not rely on information herein as the primary basis for their investment decisions. Information contained herein is based on data obtained from recognized statistical services, issuer reports or communications, or other sources, believed to be reliable. SIA Wealth Management Inc. nor its third party content providers make any representations or warranties or take any responsibility as to the accuracy or completeness of any recommendation or information contained herein and shall not be liable for any errors, inaccuracies or delays in content, or for any actions taken in reliance thereon. Any statements nonfactual in nature constitute only current opinions, which are subject to change without notice.