Retail inflation in Delhi, J&K more than double national average: ASSOCHAM

Representative image.Representative image.
MANGALURU: The retail inflation may have been hovering at quite a reasonable level of 3.17% for January, 2017 on an all-India basis, but there is no respite for people right in Delhi along with a couple of other states, suffering the price rise at double the national average, with demonetization leaving its possible impact, an ASSOCHAM analysis has noted.

“Against the national average of 3.17%, Delhi had to bear the inflation rate, measured by the Consumer Price Index (CPI) at 6.32%, while it was 7.01% for Jammu and Kashmir (J&K) and 5.92% for Himachal Pradesh,” said the ASSOCHAM analysis of the inflation data.

It also noted that in the rural belt of the national capital, the CPI inflation was close to seven per cent at 6.85%. Similarly the rural areas of Jammu and Kashmir and HP which were quite high on the retail inflation chart, witnessed quite a high rate of price rise in January, 2017 year on year.

In J&K rural and far flung, the CPI inflation was 9.08% and for the similar areas of HP it was 6.17%, adds the ASSOCHAM.

“The CPI inflation for January, 2017 on an all India level is much lower at 3.17% than the one measured on the Wholesale Price Index, at 5.25%. One of the plausible reasons could be the impact of demonetization on the supply chain, “said ASSOCHAM President Sandeep Jajodia.

But, what is more surprising is the huge gap between retail inflation in Delhi and the national average. ” This was not expected at least in Delhi, especially when the phenomenon was not seen even in the neighbouring states of Haryana, UP and Punjab, thought it was slightly over four per cent in these states”, the chamber said, adding the demonetization would have led to supply chain disruption more in the national capital than other states.


Retail inflation slips to 3.17 per cent in January

NEW DELHI: Impacted by note ban, retail inflation fell to multi-year low of 3.17 per cent in January mainly on account of declining prices of food items including vegetables and pulses.

Retail inflation, measured in terms of Consumer Price Index (CPI), was at 3.41 per cent in December.

Last month’s inflation, down from 5.69 per cent in January 2016, was lowest in at least over three years.

Inflation in vegetables continued in the negative zone at (-)15.62 per cent as against (-)14.59 per cent a month earlier, as per the data from the Ministry of Statistics and Programme Implementation.

In pulses and products category also, the rate of price rise was negative at (-)6.62 per cent.

Inflation in fruits was higher at 5.81 per cent, fuel and light at 3.42 per cent. The rate of price rise in meat and fish was 2.98 per cent.

Government’s sudden announcement on November 8, 2016 to abolish old Rs 500 and Rs 1,000 notes, nearly 86 per cent of the total cash in circulation, dented demand in the consumer segment.

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Overall, Consumer Food Price Index was down at 0.53 per cent in January as against 1.37 per cent in December.

Rural retail inflation was at 3.36 per cent in January compared with 3.83 per cent preceding month. For urban sector, it was at stable at 2.90 per cent


Tossing DARTs at the market: Retail investors jump back into stocks


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The U.S. retail investor returned to the markets with a vengeance in November.

Data compiled by Sandler O’Neill indicated that both E*Trade and Charles Schwab saw double-digit increases in daily average revenue trades (DARTs), a standard industry measurement of the level of daily trading. During the month, Schwab’s DARTs soared by 36 percent month-over-month, while Interactive Brokers (IAB) saw a 22 percent jump. The IAB data is through November 25, while Schwab’s is for the entire month.

Data released from the Investment Company Institute also indicate strong inflows into domestic stock mutual funds this month.

This type of retail trading—where individuals trade in and out of individual stocks or funds or exchange-traded funds (ETFs) through a brokerage account—is a very small part of overall trading volumes (roughly 7 percent). However, overall stock trading volumes were also much higher in November, indicating that professional investors (hedge funds, pension funds, market makers) were also much more active, according to Sandler O’Neill data.

Month over month, November cash equity volumes soared by 24 percent, and are up 16 percent year-over-year.

The derivatives markets—more typically a professional’s market—also had a great month. In addition, the Chicago Mercantile Exchange (CME) saw record volume in November.


HTC retail stores will provide warranty service in India for Google’s Pixel phones

Google has partnered up with HTC stores in India to provide after-sales warranty service for Google’s Pixel and Pixel XL smartphones, which are now up for pre-order in India on Flipkart starting at RS 57,000.

”We have partnered with HTC India for after sales service in 56 walk-in service centeres in over 30 cities,” – A Google spokesperson

This kind of service would not be available in the US, as Google handles all its retail store services over the phone and postal services. And even if it wanted to do as it will do in India and have HTC handle warranties, HTC does not have retail stores in the US. The current store finder on HTCs US-based site will direct you to any retailer that may sell HTC phones like Walmart, or carrier stores.

The Google Pixel phones will be imported into India, so they aren’t built locally, and they’ll retail at more than 1000 stores all over India as it will share the same retail distribution chain as HTCs phones in several chain retailers including: Vijay Sales, Croma, Reliance Digital, Jumbo, Spice Mobility, Poorvika, and Sangeetha Mobile. Also remember, Flipkart is currently holding pre-orders for the phones as well.


searching ‘ominous’ for overwhelmed-down retail stocks: Technician

Shoppers pass through Herald Square in New York.

A string of dismal earnings and sales numbers has retail shares struggling.

despite some robust showings from a few agencies like Wal-Mart, the retail ETF (XRT) is about to log its5thimmediately week of losses. And in keeping with Instinet dealer and technical analyst Frank Cappelleri, the worst should still be beforehand for retailers.

examine MoreGood day in retail, but it’s nonetheless eyeing longest weekly dropping streak when you consider that ’08

over the past 2½ years, it’s traced out this pretty huge and pretty bearish ominous pattern,” he statedThursday on CNBC’s “buying and selling country,” regarding the XRT. “If it goes under that $39 stage,the extent it became final at in February of this yr, we will see an awful lot lower points final seenmaybe in past due 2012.”

lots of the uncertainty comes from the outlook on americapurchasers, in step with Cappelleri. clientspending multiplied handiest at a 1.9 percent rate all through the primary region, leaving many storesstruggling to hold sales leading into income season. Numbers progressed in April as customer spending rose to its maximum in a 12 months, but the boost was broadly speaking fueled by using on-lineoutlets instead of the conventional huge names. Amazon is currently the ETF’s largest preserving.

at the same time as Cappelleri says the charts look bearish, the basics appearance first rate, consistent with S&P funding Advisory leader funding Officer Erin Gibbs.

some of these stocks are definitely starting to appearance beaten up, a number of them are down as a lot as 80 percentage, you’re quite a great deal buying the lowest,” Gibbs stated Thursday on “tradingkingdom.” “however we’re speakme 12 months out for quite a few those agencies wherein it is a protractedtime period hold. So on the short term I would not get in necessarily proper now, [but]longer term I assume there’s a few actual possibilities.”

Gibbs believes that many of retail’s suffering names can choose themselves back up, but they’ll shoulddownsize with a view to do so.

“[Retailers] need a quarter to close a couple stores and reduce their footprints and flip around, and those are the instances while you may in reality make a few exceptional offers,” she stated.


Retail faces ‘double-edged sword’ in internet age: JPMorgan Analyst

Two swords, double edge sword, fencing battle

The destiny of retail requires fewer shops and a more on-line presence, but the street to that truth is fraught with threat, JPMorgan retail analyst Matt Boss stated Friday.

Boss spoke at the end of a difficult few weeks for shops, at some point of which weak guidance and middling profits hammered many stocks within the area.

On Thursday, shares of gap to begin with popped on information it’d near 75 shops. That sentiment isevidence that the U.S. remains oversaturated with bricks-and-mortar retail, Boss stated.

Pedestrians walk beyond a gap Inc. save in big apple.
gap reports profits in keeping with expectations, proclaims 75 store closings
The proper footprint for department shops like Nordstrom and Macy’s is roughly 200 U.S. locations,preferably at the pinnacle 200 to 300 magnificence-A and sophistication-B department shops, he said. Smaller stores like gap with many extra places nonetheless have much similarly to reduce, he brought.

“I assume it is the future. it truly is where the productiveness is,” he advised CNBC’s “Squawk box.”

at the same time as retail consultants once projected one-0.33 of retail pastime would circulate on line, many now trust a 50-50 cut up is extra realistic, Boss said.

The hassle is shops simplest convert about 2 percentage of on line surfing to income, in comparisonwith nearly 20 percent for in-shop shopping, he stated. in addition, the maximum worthwhile visit for lots retailers comes when buyers go to a shop to go back a web purchase, commencing thepossibility for extra in-store sales, he stated.
Pheasant Lane Mall
One-0.33 of american department stores are doomed: Jan Kniffen
but stores face a “double-edged sword” due to the fact even as in-save experiences are key to usingsales, growing wages create a mission to getting staffing degrees proper, Boss stated.

yet any other undertaking, in keeping with Boss: almost 70 percentage of the brands those retailerssell overlap with those featured on

absolutely, their key differentiation is private label exclusives. a number of these personal labelmanufacturers don’t imply some thing to the customer, so how do you strike that stability?” he stated.


1 in three American malls are doomed: Retail representative Jan Kniffen

Pheasant Lane Mall

about one-third of yankee shops are not long for this global, retail analyst Jan Kniffen stated Thursday.

The CEO of J. Rogers Kniffen worldwide businesses spoke after Macy’s said its worst sequential samekeep income decline for the reason that economic crisis. Macy’s and different stores were givenslammed by way of a heat wintry weather and cool spring, as well as the continued migration of millennials to fast style and staleprice stores, Kniffen stated.

human beings walk beyond Macy’s flagship shop in manhattan, new york.
Macy’s dismal results deliver back reminiscences of the economic crisis
The effects are also a signal of the u . s .‘s oversupply of retail area at a time while trade is transferringonline, he brought.

“On an apples-to-apples basis, we’ve two times as plenty consistent with-capita retail space as some other vicinity within the international. The U.okay. is 2nd. they’re half of what we’re. So, sure, we are themost over-saved place in the world,” he instructed CNBC’s “Squawk box.”

With the U.S. having an expected forty eight square feet of retail space in step with citizen, the footprint is poised to say noquite speedy,” Kniffen said.

In his view, approximately 400 of the united states‘s 1,100 enclosed department shops will fail inside thecoming years. Of the survivors, approximately 250 will thrive and the rest will battle. Likewise, Macy’sprobable needs 500 of its more or less 800 existing stores, he stated.

He stated the mall owners and operators maximum probable to pop out on top are Taubman centers,standard growth partners and Simon property institution.

Survivors emerge from teen retail tantrum

Teenage girls shopping

Blend Images | Getty Images
Teenage girls shopping

The early half of this decade was looking quite grim for teen retailers. Companies including Abercrombie and American Eagle were seeing sharp declines in earnings as preferences were changing. Teens were no longer yearning for the same shirt as their peers, instead they were identifying with new fashion trends as they looked to individualize themselves. Logocentric apparel that Abercrombie and its peers had been churning out since the ’90s had fallen by the wayside in favor of unique products. Traffic at malls, where these brands do most of its business, was also reaching all-time lows with teens opting for different forms of entertainment.

However, all is not lost as teen retailers appear to be making a comeback. After parting ways with its founder and CEO in 2014, Abercrombie has ushered in a new wave of change in the past two years. The company has moved away from its notoriously sexy image, to better position itself in the rapidly changing fashion industry. Abercrombie has been quick to restructure its stores away from the club-like ambiance of shirtless models and provocative ads for which it had become famous. These efforts have not only impacted its core business, but subsidiaries Hollister and Gilly Hicks as well. Abercrombie recently shut the doors on its Gilly Hicks business and is now pushing Hollister into the burgeoning fast-fashion segment. The move into fast fashion should provide Abercrombie an edge over its competitors and also drive top-line expansion.

Early indications look as though Abercrombie is finally gaining traction. The company is coming off two consecutive quarters of positive earnings surprises with shares soaring 46 percent in the past six months. This quarter, the Estimize consensus is calling for EPS of 97 cents and revenue of $1.10 billion,1 cent higher than Wall Street on the bottom line. Given the weak holiday season, profitability looks as if it will fall short on Wednesday, projected to decline 15 percent on a YoY basis. That said, the apparel retailer has consistently beat on earnings, eclipsing the Estimize consensus 60 percent of the time while beating Wall Street 80 percent of the time.

American Eagle, on the other hand, has been the biggest success story in this category. The company had been one of the earliest adopters of the new age in fashion, turning around its core business to profitability in two years. Last quarter, American Eagle reported a 9 percent increase in comparable-store sales, with gains across both the American Eagle and Aerie brands. The biggest changes American Eagle have made include improving the quality of its products, keeping a leaner inventory and pushing its popular Aerie brand. By keeping inventory at a manageable level, the retailer has been able to reduce the amount of markdowns its offers and vastly improve profit margins.

In contrast to Abercrombie’s checkered past, American Eagle has had some PR wins as of late. It’s Aerie brand has teamed up with the National Eating Disorders Association to help promote positive body images. The lingerie brand features women of all shapes and sizes with the hope it will remove the stigma of being too curvy. The campaign has helped propel sales in recent months, further setting it apart from its competition.

The Estimize community has been optimistic in regard to American Eagle, calling for EPS of 42 cents and revenue expectations of $1.11 billion, 1 cent higher than Wall Street on the bottom line. However, our Select Consensus, which more heavily weights historically accurate analysts and recent estimates, is expecting a larger beat by 2 cents. Compared to the same period last year, this predicts as an 18 percent gain in earnings while sales are expected to grow 4 percent. On average American Eagle has consistently beat expectations, trumping the Estimize community in 92 percent of earnings reports.

That being said, neither label is in the clear yet. Both Abercrombie and American Eagle continue to lose market share to the rapidly emerging fast-fashion brands like H&M and Forever 21. These brands have become popular with teens for their fashion-forward styles at value prices. A branded polo at Abercrombie, its flagship product, will set you back $50 while a similar style at H&M retails between $15 and $20. Despite more modest pricing from the teen retailers in recent years, they still have trouble positioning themselves against discount and fast-fashion retailers

Not everyone has fared as well as Abercrombie and American Eagle. Aeropostale, the lowest priced of the three companies, continues to be plagued by its failing strategy. Instead of trying to keep pace with fashion trends, the company remains focused on providing teens with a uniform of basic clothing. So far, this strategy has failed Aeropostale as it continues to post declining comparable sales and announced it would be laying off 13 percent of its corporate employees.

While Abercrombie and American Eagle have made progress matching teens’ preferences, they will have to continue to adapt so as to not lose any more ground to the fast-fashion industry.

[“source -pcworld”]

Cramer game plan: Retail earnings ready to run

Amid the market’s new-found stability and less volatile environment, Jim Cramer could finally focus on his strong suit—bottom-up analysis of stocks.

“This less brutal backdrop has allowed us to analyze individual stocks and make judgments the way we used to before the beginning of this miserable year,” the “Mad Money” host said.

Cramer attributed the positive backdrop to the Federal Reserve putting itself on hold, as well as China and oil finally behaving itself.

So despite a weaker overseas market, Cramer has retail earnings on his radar as consumers will have plenty of spare change to spend thanks to better employment and cheaper gasoline

Earnings & management can finally matter again

Monday: Allergan, Fitbit
Allergan: Though his charitable trust has a substantial position in Allergan, it has been difficult to own any pharmaceutical company. The only stock that seems to have escaped is Johnson & Johnson, which Cramer thinks has become investors’ new favorite drug stock.

Fitbit: Cramer is adamant that this stock is a play on health and wellness, though he is interested to see what happens when it reports.

“I have to acknowledge that I have been on the wrong side of the trade in my affection for both the company and the stock,” Cramer said.(Tweet This)

Read more from Mad Money with Jim Cramer:

Cramer Remix: Why Apple is a hot value play
Cramer: Let the bad times roll for stock prices
Cramer: A once red-hot play ready for investing

Tuesday: Macy’s, Home Depot
Retail has been a mixed picture lately with hard goods companies doing well and softer goods companies that have an emphasis on fashion doing poorly. This was evident in the guide down from Nordstrom and disappointing numbers from VF Corp.

Macy’s: Cramer is not positive about this stock ahead of the quarter, as it is too similar to Nordstrom and sells too much product from VF Corp.

Home Depot: Cramer thinks this company will have a much better story to tell. He thinks it could raise estimates and confirm that stronger employment and household formation are bringing more customers to its stores.

Wednesday: Lowe’s, Salesforce
Lowe’s: Cramer isn’t sure if this competitor to Home Depot will have positive news to report, in part because of its acquisition in Canada that seemed confusing. He recommended sticking with Home Depot.

Thursday: Sears, Kohl’s, Domino’s Pizza, Palo Alto Networks
Kohl’s: If this stock is hit after a weak Macy’s quarter, Cramer recommended to buy Kohl’s ahead of its results.

“I just think Kohl’s simply isn’t this bad. Sears, on the other hand, is indeed bad,” Cramer said. (Tweet This)

Friday: J.C. Penney, Footlocker
J.C. Penney: Cramer is worried about this one. If apparel is bad for everyone else, then how could J.C. Penney stand out from the crowd? He thinks the business is just too hard. While some speculators love this stock, Cramer considers it one that doesn’t need to be owned.

Foot Locker: Footwear, however, is one of the strongest sectors out there. So if Foot Locker gets hit ahead of the quarter, Cramer thinks it is worth buying.

“Next week we are all about earnings, most of them retail, and I think you have to pick your spots,” Cramer said.
[“source -cncb”]

Cramer: Lower gas prices ‘spotty’ in retail

Savings from lower gasoline prices have not boosted retail spending as much as investors would expect, CNBC’s Jim Cramer said on Thursday.

“I didn’t think [Kohl’s] was as bad as it was doing because a lot of people feel, including me, that at a certain point lower gasoline should help,” said Cramer on “Squawk on the Street.” “This plus Ralph Lauren tells you that lower gasoline is still not a factor. It is spotty in retail.”

Department store chain Kohl’s, with the ticker symbol KSS, cut its full-year earnings estimate, citing weak sales during the holiday quarter and “significantly” lower gross margins.

The company’s stock fell more than 17 percent at one point to below $42 in morning trading, pulling down shares of other retailers.

“Kohl’s did not give you a kiss,” added Cramer.

Sales at established stores rose 0.4 percent in its fourth quarter, Kohl’s said, adding that sales were “very volatile” and “less than planned” due a slow start in November and weak demand for winter products in January.

Upscale retailer Ralph Lauren reported a bigger-than-expected decline in holiday-quarter established store sales on Thursday, while Macy’s Inc. posted similar results in January, both blaming the warmer-than-usual quarter and a dearth of tourists.

“This was a shocker. I am just blown away by how bad Kohl’s was this morning,” said Cramer.

Reuters contributed to this report.