The financial forecasting site Daily Reckoning is spelling out what industry analysts have known for some while. Malls are in big trouble and it starts showing in the retailers’ stocks:
All the major mall anchors are coughing up their November gains at an alarming rate. Nordstrom Inc. (NYSE:JWN) took the biggest hit Friday, dropping nearly 9% after a JP Morgan downgrade. Macy’s and JC Penney followed suit, each dropping 7% to finish out the trading week. […]
The slow-motion collapse of the traditional retailers is starting to pick up steam. As this story continues to unfold, the retail sector is becoming a wasteland. Jeff Bezos and his army of same-day Amazon delivery drivers have gutted every brick and mortar store in their path. Derelict shopping malls dot the country. It’s not a pretty picture. […]
Steer clear of the retail space for now. You never know where Amazon will strike next…
A mall is like a house of cards. Once the anchors struggle everyone else gets hurt as well. The decline will not progress in a linear fashion.