Stocks continue to drop on Friday as retailers miss earnings estimates and are predicting a less than stellar holiday season. The Standard & Poor’s 500 index fell 13 points to 2,032, the Dow Jones Industrial Average dropped 116 points to 17,331 and the Nasdaq slid 41 points to 4,963.

Retailers haven’t been helped with prices falling either. The October producer price index decreased 0.4 percent. Economists had expected prices to increase 0.2 percent. Apparel, jewelry and footwear seasonally adjusted prices dropped 3.1 percent from September to October. In the unadjusted prices for this category, they still dropped 2.2 percent.

October retail sales were $447.3 billion, an increase of 0.1 percent from September and 1.7 percent increase over last year. Economists had forecast an increase of 0.3 percent for the month. Clothing and clothing accessories stores sales increased 2.3 percent over last year, but were flat with September. Adjusted sales for October were $21.339 million for this category versus September’s $21.349 million.

J.C. Penney Co. Inc.’s third quarter results beat estimates, but because the company didn’t raise its sales forecast investors began dumping the stock. J.C. Penney stock fell more than 8 percent to $8.01 in early trading. The discount department store delivered net sales of $2.897 billion, a big improvement over last year’s $2.76 billion and better than the FactSet estimate of $2.884 billion. The earnings per share came in at a negative 47 cents per share, which again beat the FactSet estimate for a negative 56 cents per share. Same store sales increased 6.4 percent.

Nordstrom Inc. is also getting dumped by investors this morning after the high end retail chain finally succumbed to the same challenging retail environment. The stock is down over 16 percent to $53.01 in early trading. Even though total revenue grew 6 percent to $3.33 billion, it was shy of the estimate of $3.37 billion and so the stock got the heave-ho. Net income plunged 43 percent to $81 million and the earnings per share of 57 cents for the third quarter was much lower than the expected 72 cents per share.

Bebe stock fell 42 percent to 55 cents after the specialty retailer delivered its fiscal first quarter 2016 results and the earnings per share for a loss of 22 cents, which was more that the FactSet estimate for a loss of 16 cents per share. Net sales for the quarter were $96.3 million, also shy of the FactSet estimate of $97.7 million. Comparable store sales for the quarter decreased 4.1 percent versus last year’s increase of .7 percent. The company has been working through inventory that was not in line with their customer’s style.

Fossil Group stock is also plunging after the watch company predicted a less than jolly holiday season and announced it spent $260 million to acquire wearable tech company Misfit. Third quarter revenue dropped 14 percent to $771 million, much worse than the expected drop of 11 percent. Net income plunged a whopping 45 percent to $57.5 percent and not surprisingly watches are not selling. Fossil stock is down 32 percent to $34.62 in early trading. Fitbit stock is sliding over 12 percent as a result of Misfit getting bought by Fossil.

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