Summary
- State Street SPDR S&P Retail ETF remains a “Buy,” supported by resilient U.S. consumer spending and record holiday sales expectations.
- XRT offers diversified retail exposure with a compelling 14.6x P/E ratio, attractive versus the broader market, and strong liquidity.
- Despite recent price correction and cyclical risks, technical support at the 200-day moving average and seasonality suggest a buyable dip.
- XRT’s equal-weight approach limits single-stock risk, and year-end retail momentum provides bullish tailwinds for the ETF.
Getty Images
The Magnificent Seven may dominate headlines, but household spending still drives U.S. GDP growth. Indeed, the National Retail Federation exp…
Summary
- State Street SPDR S&P Retail ETF remains a “Buy,” supported by resilient U.S. consumer spending and record holiday sales expectations.
- XRT offers diversified retail exposure with a compelling 14.6x P/E ratio, attractive versus the broader market, and strong liquidity.
- Despite recent price correction and cyclical risks, technical support at the 200-day moving average and seasonality suggest a buyable dip.
- XRT’s equal-weight approach limits single-stock risk, and year-end retail momentum provides bullish tailwinds for the ETF.
Getty Images
The Magnificent Seven may dominate headlines, but household spending still drives U.S. GDP growth. Indeed, the National Retail Federation expects holiday sales to top $1 trillion for the first time, rising between 3.7% and 4.2% from last year despite tepid consumer
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