SOURCE: Russell Investments

Russell Investments

November 26, 2013 14:44 ET

'Tis the Season: The Russell 3000® Index Consumer Discretionary Sector & Retail Subsectors Showed Strong Performance in November Leading Into Black Friday & Cyber Monday, Reflecting a Three-Year Uptrend

SEATTLE, WA--(Marketwired - Nov 26, 2013) -  The U.S. broad market Russell 3000® Index Consumer Discretionary sector and retail subsectors have reflected positive performance through Monday, November 25 (the Monday before "Black Friday"), reflecting an improving trend for consumer- and retail-oriented stocks leading into the holiday spending season in recent years.

  • The Russell 3000 Index Consumer Discretionary sector returned 2.4% in November of this year through November 25, with positive returns of 3.9% and 2.2% for the Diversified Retail and Specialty Retail subsectors, respectively.

Returns for similar periods in 2012 and 2011 were not as strong:

  • For the month of November 2012 through November 19 (the Monday before "Black Friday"), the Russell 3000 Index Consumer Discretionary sector returned (-0.8%), with returns of (-3.4%) and 2.0% for the Diversified Retail and Specialty Retail subsectors, respectively.

  • For the month of November 2011 through November 21 (the Monday before "Black Friday"), the Russell 3000 Index Consumer Discretionary sector returned (-4.7%), with returns of (-4.1%) and (-1.1%) for the Diversified Retail and Specialty Retail subsectors, respectively.

"As we head into 'Black Friday,' the unofficial kickoff for the holiday sales season in the U.S., American consumer sentiment appears to be improving. This is likely in response to the slow (but steady) improvement in the labor market, rising home prices, and the significant improvement in personal market wealth that is reflected by the Russell Indexes," said Stephen Wood, chief market strategist for Russell Investments. "As investors look for additional clues about the health of the U.S. economy and consumer confidence, 'Black Friday' and 'Cyber Monday' sales may serve as additional data points." 

Index / Index Sector & Subsector   Nov 2013 a/o 11/25   Nov 2012 a/o 11/19   Nov 2011 a/o 11/21
Russell 3000 Index   2.5%   -1.6%   -4.7%
Russell 3000 - Consumer Discretionary Sector   2.4%   -0.8%   -4.7%
Russell 3000 - Diversified Retail Subsector   3.9%   -3.4%   -4.1%
Russell 3000 - Specialty Retail Subsector   2.2%   2.0%   -1.1%

Source: Russell Investments. Returns are total returns (reflect reinvestment of dividends and distributions) and are denominated in US dollars.

The Russell Global Index measures the performance of the global equity market based on all investable equity securities, and is constructed to provide a comprehensive and unbiased barometer for the global segment. The index includes more than 10,000 securities in 47 countries, and covers 98% of the investable global market. All securities in the Russell Global Index are classified according to size, region, country and sector; as a result the index can be segmented into more than 300 distinct benchmarks.

Please note: Indexes are unmanaged and cannot be invested in directly. Returns represent past performance, are not a guarantee of future performance, and are not indicative of any specific investment. Russell's publication of the Indexes or Index constituents in no way suggests or implies a representation or opinion by Russell as to the attractiveness of investing in a particular security. Inclusion of a security in an Index is not a promotion, sponsorship or endorsement of a security by Russell and Russell makes no representation, warranty or guarantee with respect to the performance of any security included in a Russell Index. 

Opinions expressed by Mr. Wood reflect market performance as of November 25, 2013 and are subject to change at any time based on market or other conditions without notice. Past performance does not guarantee future performance. 

This material is not an offer, solicitation or recommendation to purchase any security.

Nothing contained in this material is intended to constitute legal, tax, securities or investment advice, nor an opinion regarding the appropriateness of any investment, nor a solicitation of any type. The general information contained in this publication should not be acted upon without obtaining specific legal, tax and investment advice from a licensed professional. The information, analysis and opinions expressed herein are for general information only and are not intended to provide specific advice or recommendations for any individual entity.

Russell Investment Group is a Washington, USA corporation, which operates through subsidiaries worldwide, including Russell Investments, and is a subsidiary of The Northwestern Mutual Life Insurance Company.