6 Footwear Insight Business Report Quarterly ~ Q4 January 6, 2025
QUARTER 4 ENDING 12/23/2024
footwearinsight.com
W
ith Donald Trump headed back to
the White House shortly, and the
U.S. economy in solid shape, there
is optimism in the air despite a handful
of potential pitfalls that could hamper
forecasted market gains for 2025. Analysts,
who recently anticipated a downturn in
market trends this year, are now forecasting
an approximate 10 percent increase for
the S&P 500 index this year.
Of course, U.S. economic issues such as
higher unemployment, more corporate
debt defaults, increased personal and
business bankruptcies, and consumer credit
card delinquencies each could subdue the
ambitious growth outlooks.
If the 10 percent growth forecast
comes to fruition, it will mark the third
consecutive year of double-digit growth
for the S&P 500 index that ended 2024
with a 24 percent gain to close at 5,881.63.
at increase outpaced the Dow's growth
of 12.8 percent last year to 42,544.22 and
Nasdaq's 30.8 percent jump to 19,310.79.
It should be noted, however, that both the
Dow and S&P 500 index contracted in
2024's final month by 5.0 percent and 2.7
percent, respectively. And the Nasdaq was
off slightly at -0.5 percent in December.
Within the footwear industry, a 2025
gain in fortunes may largely depend on the
start of turnarounds at Nike and Under
Armour; the continuation of about faces
at VF Corp. and Wolverine; and ongoing
growth trajectories for the likes of Deckers,
Lululemon, and On Holdings.
Meanwhile, it should be noted there will
be yet another adjustment to our Retail
Index this year once Nordstrom completes
a $625 billion transaction to go private
with Mexico's El Puerto de Liverpool,
S.A.B. de C.V at mid-year. Once the deal
is completed, the Nordstrom Family will
retain a 50.1 percent stake in the upscale
retailer. n
MARKETS SOAR IN '24,
BUT MIXED BAG FOR INDEXES
60
76
92
108
124
140
12/23/24 12/16/24 12/9/24 12/2/24 11/26/24 11/19/24 11/12/24 11/5/24 10/28/24 10/21/24 10/14/24 10/7/24 9/30/24
(QUARTER)
(AVERAGE)
n RETAILERS n BRANDS
BY BOB MCGEE
