It's hard to find holiday cheer among major retailers with companies preparing for weak sales during the crucial final quarter.
Coal is expected to be found in retailers' stockings this holiday season.
Target sent the retail market into a frenzy Wednesday after it said it expected poor holiday sales due to a decline in discretionary spending.
Target's share price fell by more than 10%, while other retail stocks like Best Buy and Gap fell by more than six percent.
The forecasts for the rest of the year were pulled by the department store.
The holiday retail worries trail the latest retail spending report revealing resilient consumer demand, with a 1.3% increase in retail spending last month, but consumers are allocating more to essential items like food and energy which have each skyrocketed in price compared to a year ago.
Black Friday and Cyber Monday are not likely to save retailers as they have offered aggressive discounts for months to get rid of a large amount of inventory.
Tom Essaye wrote in a Thursday note that there is little doubt that consumers are becoming more value conscious.
Macy's raised its profit forecast Thursday due to strong demand for higher priced clothing and beauty products. The global luxury goods market is expected to grow by 21% this year.
Target reported a $400 million profit hit on Wednesday due to a surge in theft.
20% According to a survey by the American Farm Bureau, the average Thanksgiving meal in the country is more expensive than it was last year.
The dramatic rise in theft is taking a bite out of profits.
Even as retail sales rise, Target stock tanks after warnings of the holiday season.
Walmart is attracting wealthier customers who are looking for less expensive groceries.
Thanksgiving dinner prices are still hot, but inflation might be cooling.
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