With most retailers to report their sales from the previous month Thursday, Christine Chen, vice president of equity research-specialty retail at Needham & Co., foresees low sales numbers for women's apparel merchants, despite June being a clearance month.
"I would expect to see a lot of negative surprises coming out tomorrow from the likes of Anne Taylor, the likes of Gap," Chen said on "Power Lunch."
In particular, she referred to women's apparel retailer Chico's, which reported a -7.3% in retail sales Wednesday.
Chen has more faith in teen retailers' sales numbers.