Retail Stocks Are Being Mysteriously Pounded on Monday
Amazon is exerting pressure on retailers like never before.

Retailers were having a tough session early Monday.

The only apparent industry-wide news that could explain the selloff was a note from Telsey Advisory Group saying that Action Alerts PLUS holding Amazon Inc. (AMZN) could capture 10% of all retail sales by 2020. 

The firm initiated Amazon with an "outperform" rating, saying, "Amazon's customer-centric approach, relentless pursuit of efficiency in existing and new businesses, strong and growing Prime membership base, and advanced technology platforms have differentiated the company and made it a preferred shopping destination."

Retail ETFs were suffering, too, Monday with the Market Vectors Retail ETF (RTH) falling 0.3%, while the SPDR S&P Retail ETF (XRT) fell 0.64% and the First Trust Consumer Discret AlphaDEX ETF (FXD) fell 0.5%. The S&P Department Store Index (below) hovered dangerously near the 100-day moving average.  

Individual retailers were also faltering Monday. 

  • Target Corp. (TGT) shares were down 2.3%. 
  • Macy's Inc. (M) shares were down 4.53%. 
  • Nordstrom Inc. (JWN) shares were down 2.6%. 
  • Kohl's Corp. (KSS) shares were down 5.16%. 
  • Walmart Inc. (WMT) shares were down 1.9%. 
  • Meanwhile, Amazon shares were rising 1.4% Monday morning. 

Retail stocks get whipped on Monday. Source: Bloomberg
Retail stocks get whipped on Monday. Source: Bloomberg

More from Markets

Market of the Week: E-mini S&P 500

Market of the Week: E-mini S&P 500

Bristol-Myers Slides After FDA Delays Marketing Approval for Cancer Therapy

Bristol-Myers Slides After FDA Delays Marketing Approval for Cancer Therapy

Dow Trades Lower After Momentum From China Rally Fades, Nasdaq Rises

Dow Trades Lower After Momentum From China Rally Fades, Nasdaq Rises

Goldman Women Find Bias in Pay as Corporate Old-Boy Clubs Endure

Goldman Women Find Bias in Pay as Corporate Old-Boy Clubs Endure

Can OPEC Still Influence the Price of Crude Oil?

Can OPEC Still Influence the Price of Crude Oil?