This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Retail Sales Gain, But Retail Stocks Sink

NEW YORK ( TheStreet) -- Retail sales inched up 0.5% in January, beating expectations.

Excluding autos, sales rose 0.6%, boosted by electronic and appliance stores, which grew 1.2%. Sporting goods, hobby and books sales rose 1% and general merchandising stores gained 1.5%.

Clothing and accessories stores saw a 0.3% increase, deteriorating from December's 3% uptick.

But sales tied to the housing sector were weak, with building material and garden suppliers off 1.2% and furniture retailers down 1.4%.

Sales data was originally scheduled to be released on Thursday, but was delayed due to the snow that blanketed Washington.

Looking to Febuary, analysts say the positive trend could be over, due to snowstorms across the country.

"Moreover, the volatility in equity markets may begin to play out in retail sales," Brian Sozzi, analyst at Wall Street Strategies wrote in a note. "Arguably what we have been seeing is a lag effect following the rebound in stocks, 401Ks and, to a lesser extent, jobs since the depths of the recession in the middle of 2009."

Shares of retailers are in the red Friday morning, despite better-than-expected sales. Home improvement retailer Home Depot (HD - Get Report) is falling 1.1% to $28.67, while rival Lowe's (LOW - Get Report) is dropping 1.5% to $21.84. Ebay (EBAY) is sinking 1.6% to $21.78 and Sears (SHLD - Get Report) is off 1.3% to $89.24.

-- Reported by Jeanine Poggi in New York.

Follow on Twitter and become a fan on Facebook.
Copyright 2009 Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
EBAY $22.08 0.00%
HD $113.27 0.00%
LOW $63.40 0.00%
SHLD $15.05 0.00%
AAPL $93.70 0.00%


Chart of I:DJI
DOW 15,660.18 -254.56 -1.60%
S&P 500 1,829.08 -22.78 -1.23%
NASDAQ 4,266.8370 -16.7550 -0.39%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs