The health of the consumer is paramount to the health of the U.S. economy. Accordingly, Piper Jaffray's annual consumer marketplace conference, which takes place Thursday in New York, could pique some added interest for a market that has been warming up to consumer stocks this year.
Piper Jaffray's 38th Annual Consumer Marketplace Conference (Thursday, June 7)
- Why it's important
- Consumer spending accounts for roughly 70% of GDP, so companies at this conference can offer some value-added insight about consumer spending prospects
- Many consumer discretionary stocks, particularly retailers, have registered outsized gains of late. Commentary from the conference could validate those moves or perhaps suggest the stocks have gotten ahead of themselves.
- With the 17-year low unemployment rate and the indication that job openings outnumber the total number of people counted as unemployed, expectations are running high for a pickup in consumer spending
- The consumer discretionary sector is the fourth-largest sector in the S&P 500 with a 13% weight. The movement of the sector can have broad market influence as a result of that weighting and how the performance of the stocks influences the market's thinking about the consumer spending outlook.
- A closer look
- What's in play?
- Consumer Discretionary Select Sector SPDR Fund (XLY)
- Vanguard Consumer Discretionary ETF (VCR)
- iShares US Consumer Services ETF (IYC)
- Fidelity MSCI Consumer Discretionary Index ETF (FDIS)