Morning Minutes

Retail Sales and Retailer Earnings In Focus

constumer-staples

Share:

Facebook
Twitter
LinkedIn
Email
Print

US index futures are down 0.2%-0.4% this morning giving back some of yesterday’s gains as investors digest a flurry or retail related announcements and political developments. European markets are under pressure this morning with the Dax down 1.0% amid rising political tensions after an errant missile, apparently fired by Ukraine forces in defense against a Russian missile barrage, landed in Poland, reminding investors that the Ukraine-Russia war remains a volatile situation.

US retail sales (1.3% vs street 1.0% and previous 0.0%) and retail sales excluding autos (1.3% vs street 0.4%) were much stronger than investors had anticipated. US retailer earnings, meanwhile, have been mixed this morning. Lowes ($3.27 vs street $3.10, up 1.7% premarket) beat expectations. Target’s EPS ($1.54 vs street $2.13, down 14.8% premarket) missed badly due to deep discounts for inventory clearance, and management cut its Q4 sales guidance. Results from Canadian grocers were better than expected, as both Loblaw ($2.01 vs street $1.96) and Metro ($0.92 vs street $0.90) beat street expectations.   

Inflation and housing are in the news again today. Core Canadian consumer prices (5.8% vs street 6.3%) were better than expected; another sign of easing inflation in North America. Canadian housing starts came in soft (267K vs street 270K and previous 298K).  In the UK, consumer prices (11.1% vs street 10.7% and previous 10.1%) accelerated more than expected, while house price growth slowed significantly (9.5% vs street 14.5%).  US industrial production is due at 9:15 am EDT this morning, followed by US housing starts tomorrow morning.

Commodities are in retreat this morning with Copper and WTI crude oil both down 1.1%, and Natural Gas down 2.8%. Gold is up 0.3% along with the Canadian Dollar, Yen and Pound, while the Euro is up 0.5% as the US Dollar backslides.

Subscribe to the Morning Minutes:

Today's earnings reports and market activity, delivered right to your inbox.

Colin Cieszynski, Chief Market Strategist

Colin Cieszynski, CFA, CMT
Chief Market Strategist
ccieszynski@siawm.com
+1 (647) 282-4428

Read More

Legal and Regulatory Disclosures

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.

INTERNET EXPLORER NOTICE