The consumer may be strong, but traders say they might not be spending in traditional retail

03/01/2017
The "Fast Money" traders were torn over the discrepancy between consumer data and early holiday sales figures.

Last week, The Conference Board said its Consumer Confidence Index hit 113.7 in December, its highest level since August 2001. Despite optimistic data, Macy's said Wednesday that its comparable-store sales declined 2.1 percent in November and December, the critical holiday months for retail.

"While our sales trend is consistent with the lower end of our guidance, we had anticipated sales would be stronger. We believe that our performance during the holiday season reflects the broader challenges facing much of the retail industry," Terry Lundgren, chairman and CEO of Macy's, said in a statement.
Trader Pete Najarian said that some of the pain in the retail sector is just a continuation of the online sales story where Amazon is just eating everyone else's lunch.

Trader Steve Grasso said that if Amazon gets lumped in with the rest of the retail sector and sells off with it, he would be interested in getting the stock at a discount.
Trader Karen Finerman said that it seems department stores are being hit the hardest. She said it's unclear how much of the downside in department stores may hit brands like Michael Kors.

If investors are looking for stocks in retail, trader David Seaburg said consumers will always want to buy things at a discount. He said he'd look at stocks like TJX or Nordstrom, which has its own discount business alongside its department stores.

Disclosures:

KAREN FINERMAN

Karen Finerman is long AAL, BAC, BAC short calls, C, DAL, FB, FL, GLMP,, GOGO, GOOG, GOOGL, JPM, LYV, KORS, KORS calls, KORS puts, M, MA, SEDG, SPY puts, TACO, UAL, URI, WIFI long call spreads. Her firm is long ANTM, AAPL, BAC, C, C calls, FB, GOOG, GOOGL, JPM, JPM calls, KORS, LYV, M, MOH, PLCE, SPY puts, URI, WIFI. Her firm is short IWM, MDY. Finerman is on the board of GrafTech International.

STEVE GRASSO

Steve Grasso's firm is long: CHK, WLL, DIA, VIRT, WDR, FCX, ICE, KDUS, MAT, MJNA, NE, OLN, RIG, MFIN, TITXF, WDR, ZNGA, CUBA, HSPO, ICE, MJNA, TITXF, AGN, BIIB, REGN, SPY, GLD. Grasso is long: CHK, EEM, EVGN, GDX, KBH, MJNA, MON, MU, OLN, PFE, PHM, SPY, SQ, T, TWTR. Grasso's children own: EFA, EFG, EWJ, IJR, SPY. No shorts.

PETE NAJARIAN

Pete Najarian own calls: AKS, BLL, BVN, BZH, CCL, CNX, ETP, GDX, GILD, HA, HRL, KORS, INTC, JBLU, KKMB, LVS, MT, NEM, P, RIO, TLT, TV, UUP, XLF, WFT, WLC. He is long stock: AAPL, BAC, BLL, DIS, DISCA, GE, GILD, HD, INTC, JWN, KMI, KMIA, KO,KORS, LVS, MRK, MSFT, PEP, PFE, WYNN, XLNX. Najarian long puts: GGP, PJC, X.

DAVID SEABURG

Opinions expressed by David Seaburg are solely his own and do not reflect the views and opinions of Cowen Group, Inc. David Seaburg and Cowen have a financial interest in EDIT. An employee of Cowen and Company, LLC serves on the Board of Directors of Diamond Offshore.

Fonte:http://www.cnbc.com/2017/01/04/the-consumer-may-be-strong-but-traders-say-they-might-not-be-spending-in-traditional-retail.html

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