The year for retail is setting up to be a "tale of two halves," with the outlook improving for the sector thanks to wage inflation, analyst Liz Dunn said Thursday.
"The first half was weather wasn't cooperating, we had the port situation on the West Coast that made inventory difficult to get," the founder and CEO of Talmage Advisors said in an interview with CNBC's "Power Lunch."
However, there are some good economic signs for the back half as it relates to the consumer. And that's good news for retailers as the all-important holiday shopping season looms ahead.
"The last couple months have looked really good in terms of wage inflation, and we're hearing these big companies out there raising wages and I think all of that plays very well for the consumer," noted Dunn, who has been analyzing brands and retailers for 20 years.