Tuesday's Retail Rally
Believe it or not, retail gave a boost to the stock market on Tuesday. Wait until you hear which big box offered the Street a solid quarterly profit and an upbeat forecast.
Wal-Mart (WMT) reported a higher-than-expected 8 percent rise in quarterly profit, helped by tighter control on expenses and efforts to draw customers into its U.S. stores earlier than ever for holiday shopping.
Retail stocks on Tuesday are just making up for lost ground, says Jeff Macke on CNBC's "Closing Bell." Wal-Mart gave investors an excuse to buy. The stock is flat year to date, he adds. This is only a nice rally if you bought retail stocks at the close yesterday.
I continue to be very selective in this market, Macke adds. "I like the price action in Costco (COST) and The Gap (GPS)."
Also, watch Kohl’s (KSS), he says. They’re a good merchant and if consumers are starting to go downscale, they’re in the right space.
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Trader disclosure: On Nov. 13, 2007, the following stocks and commodities mentioned or intended to be mentioned on CNBC’s Fast Money were owned by the Fast Money traders; Macke Owns (INTC), (YHOO); Najarian Owns (VMW), Najarian Owns (AMTD) Options, (AMZN) Options, (C) Options, (CSCO) Options, (GOOG) Options, (GS) Options, (XLF) Options, (YHOO) Options; Finerman's Firm And Finerman Own (GS); Finerman's Firm Owns (AMTD), (KALU), (KSS), (TYC), (WMT), (YHOO), (LTD), (TSO); Finerman's Firm Owns (HD) And (HD) Puts, Finerman Owns (HD); Finerman's Firm Owns (BIIB) Options, (CROX) Options, (MSFT) Options, (TGT) Options; Finerman's Firm Is Short (MER), (SPY), (IWM), (MDY), (IYR); Finerman's Firm Owns (LEH) Puts