Markets punished retail stocks in the opening week of reporting season as investors reassessed the outlook for Australian consumers amid early signs of deteriorating demand, and a more hawkish Reserve Bank.
While retail stocks shot out of the blocks to start this year on evidence of a strong holiday trading period, the sector retreated this week as investors reevaluated the hit to consumption caused by a cash rate which bond markets now expect to peak at around 4 per cent. “We see the current macro environment of higher interest rates and slowing housing turnover a headwind for furniture retailers, with the order bank support now largely unwound,” Macquarie analysts said. “We expect a risk of spending shifting away from the category.”
Not even a bumper result from Cettire on Tuesday could escape the bearish sentiment, as the luxury online platform delivered an $8 million bottom-line profit in the December half, marking a turnaround from an $8.3 million loss a year earlier. The correction in Cettire’s share price this week followed a 50 per cent surge in January, highlighting that investors are reevaluating the outlook for Australian consumers and the broader retail sector following the hawkish commentary by the RBA.
Portugal Últimas Notícias, Portugal Manchetes
Similar News:Você também pode ler notícias semelhantes a esta que coletamos de outras fontes de notícias.
Fonte: FinancialReview - 🏆 2. / 90 Consulte Mais informação »