How Trump Is Dulling Tiffany & Co.’s Sparkle; Just Another Multi-billion Dollar Monday; Oil Vey! OPEC Squabbles Over Oil Cuts

Occupying 5th Ave…

id-100262819

Image courtesy of Boykung/FreeDigitalPhotos.net

Despite occupying some of the the best real estate in the world, Tiffany & Co.’s New York flagship store is having some sales troubles no thanks to president-elect Donald Trump,  whose nearby police barricades, protests and secret service detail have taken a big chunk out of the store’s traffic. And that’s a huge problem, especially because the U.S. is Tiffany & Co.’s biggest market, and its Manhattan store accounts for 8% of the company’s sales. At least there’s China and Japan, whose currency fluctuations allowed consumers in those regions to take advantage of a strong yen that had them picking up all kinds of nifty goods from the iconic jeweler. Mainly because of that, the company posted a surprise 1.2% sales increase – the first sales rise in eight quarters. Same store sales didn’t fare as badly either, even though experts thought they would. Instead of declining an expected 2.8%, they fell just 2%. In the United States, presumably in locations where Trump does not reside, Tiffany & Co. experienced a smaller than expected drop, falling just 2% compared to last year at this time. The luxury jeweler scored a $95 million profit, pulling down 76 cents per share on sales of $949.3 million. Analysts only expected 67 cents to be added to shares with sales totaling $923.7 million.

Shattered…

id-100286888

Image courtesy of Stuart Miles/FreeDigitalPhotos.net

Move over $3.36 billion. Move over $3.39 billion. The original sales estimates for cyber-Monday proved no match for the actual numbers. Adobe Digital Insights whipped out the results for this year’s post-Thanksgiving shopping extravaganza, which blew estimates out of the water and came in at a whopping $3.45 billion – over a 12% increase from last year’s cyber-Monday purchases. But what’s super weird is that apparently there were less deals on cyber-Monday than on Black Friday. However, Black Friday’s numbers were looking awfully green as well, setting a record with a 22% increase over last year and coming in at just $110 million less than cyber-Monday. Some analysts were a bit concerned that the abundance of web sales on Thanksgiving would put a dent in cyber-Monday’s digits. But wouldn’t you know it? That didn’t happen. Purchases made using Wall-Mart’s app jumped 150% while Amazon is expecting to report its best cyber-Monday. Ever. But you’re just going to have to take their word for it. As for losers, look no further than Macy’s. Perhaps it was karma for opening its doors at 5:00 pm on Thanksgiving Day, but the company experienced outages on its website that kept a lot of shoppers from making a lot of purchases on the company’s site. The amount of money the retailer likely lost was probably not enough to offset the fact that it opened its doors on Thursday. Boohoo.

Why can’t we oil just get along?

id-10047792

Image courtesy of Rawich/FreeDigitalPhotos.net

The Organization of the Petroleum Exporting Countries, also known as OPEC, is having a big fancy meeting in Vienna tomorrow. At issue is the problem that there is way too much oil floating around all over the world. This oil glut is making oil prices low which makes for really good prices at the pump. However, the countries that produce all this oil don’t like that one bit and are trying to agree on how to fix it so that prices go up again and they can start making cold hard cash. Saudi Arabia, Iran and Iraq are the biggest oil producers and the logical step would be for each country to cut their production. But none of them want to do that. There’s a lot of ego involved. It’s like color war, but with actual valuable commodities at stake, besides national pride. Saudi Arabia is proposing cuts of 1.2 million barrels per day. However, Iran’s not down for making any cuts because it feels it needs to make up for lost time from all those years of Western sanctions it faced – and totally deserved – and still does deserve. Iraq is using ISIS as a very convenient, if somewhat legit excuse since it is, after all, fighting a war against a psychopathic terrorist organization, and the money it gets from selling oil helps fund that lofty endeavor. Rumor has it that Iran and Iraq are coming around but no word on whether Saudi Arabia will play ball. So stay tuned to see if and when more OPEC drama plays out, and how this drama will affect your wallet and your green car aspirations.

 

Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s