NEW YORK, NY / ACCESSWIRE / January 6, 2017 / The Dow Jones Industrial Average pulled back Thursday as investors sold off financial equities, which had been amongst the best performers since the Presidential Election, in favor of gold and government bonds. The Dow fell by as much as 131 points before settling to close at 19,899.29, a decline of 0.21 percent and the S&P 500 Index fell 0.08 percent to close at 2,269.00. The S&P 500 financials sector dropped 1.02 percent, while Dow components American Express, Goldman Sachs Group, J.P. Morgan Chase and Travelers all posted declines.
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"Most people are trying to extend this positive sentiment from last year, but we do have some caution in the coming months something could turn," said Jeroen Blokland, a senior portfolio manager at Robeco, who currently has a "neutral" view on equities.
Macy's Inc. (NYSE: M)
Macy's shares dropped 13.90 percent to close at $30.86 a share Thursday. The stock traded between $30.51 and $31.85 on volume of 29.24 million shares traded. The company reported comparable sales over the holiday months, November and December, declined 2.1 percent when compared to the same period a year ago. The disappointing sales in the holiday season prompted the retailer to announce that will be cutting over 10,000 jobs and plans to close 68 new stores.
Although company maintained its full year sales guidance of 2.5 percent to 3.0 percent decrease in comparable sales with expectation to come in the lower end of the guidance, it has lowered full year diluted earnings per share (excluding impairment, restructuring, retirement settlements and other charges) to be in a range of $2.95 to $3.10 per share against previous guidance of $3.15 to $3.4 per share.
Kohl's Corporation (NYSE: KSS)
Kohl's shares fell 19.02 percent to close at $42.01 a share Thursday. The stock traded between $41.25 and $44.00 on volume of 26.84 million shares traded. The company reported comparable sales declined 2.1 percent in the fiscal November and December months when compared to the comparable period a year ago. Total sales for the November and December period fell 2.7 percent. Kohl's now expects diluted earnings per share to be $2.92 to $2.97 in fiscal 2016, down from its previous guidance of $3.12 to $3.32 per diluted share. Excluding impairments, store closing and other costs, fiscal 2016 diluted earnings per share is expected to be $3.60 to $3.65, down from the its previously stated guidance of $3.80 to $4.00 per diluted share.
"Sales were volatile throughout the holiday season. Strong sales on Black Friday and during the week before Christmas were offset by softness in early November and December," said Kevin Mansell, Kohl's chairman, chief executive officer and president.
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