The Amplify Online Retail ETF offers diversified exposure to online retail, with 78 holdings and a focus on U.S.-based companies. E-commerce sales trends remain strong, with significant growth in 2024, outpacing overall retail sales and achieving record market share during the holiday season. Despite a cautious consumer outlook due to rising interest rates and debt levels, online retail benefits from value-seeking behavior and convenience.
Amplify Online Retail ETF reflects digital consumer trends but shows stagnant AUM growth and negative net flows, prompting a Hold recommendation. Pandemic-driven growth has subsided, and current economic conditions, including inflation and tariffs, pose significant challenges to the fund's future performance. Despite global eCommerce growth projections, low GDP growth in advanced economies and high consumer credit levels undermine the potential for robust online retail expansion.
Economic indicators provide insight into the overall health and performance of the economy. They are closely watched by policymakers, advisors, investors, and businesses because they help them to make informed decisions about business strategies and financial markets.
The Census Bureau's Advance Retail Sales Report for January showed a sharper-than-expected decline, with headline sales falling 0.9%—the largest monthly drop since March 2023 and the first decline in five months. Meanwhile, December's figures were revised upward to a 0.7% gain.
After a nearly $1 trillion holiday season, U.S. consumer spending shows no sign of slowing. The exact figure is $994 billion, according to recent findings from the National Retail Federation.
The Census Bureau's Advance Retail Sales Report for December revealed headline sales were up 0.4% last month. Additionally, November retail sales were revised higher to 0.8%.
Heading into the holiday season, many US retailers described their consumers as "selective," "cautious" and "conservative," and making "needs-based" purchases.
The Census Bureau's Advance Retail Sales Report for November revealed headline sales were up 0.7% last month. The latest reading was higher than the expected 0.6% monthly growth in consumer spending.
Holiday spending is expected to grow 2.5%-3.5% year over year. Several ETFs are poised for solid gains.
Black Friday continues to be the most popular shopping day for both in-store and online shopping.
Sales at brick-and-mortar stores grew just 0.7% year-over-year, according to preliminary estimates by payments processor Mastercard, and were lower according to data firm Facteus.
US shoppers spent a record $10.8 billion online this Black Friday, marking a 10.2% year-over-year increase, according to Adobe Analytics. As the official kickoff to the holiday shopping season, Black Friday showcased the growing dominance of e-commerce, with consumers flocking to mobile devices and desktops to snag deals on everything from electronics to beauty products.