Guzman, Wesfarmers to deliver upbeat earnings for Australian discretionary retailers
Australia's discretionary retailers are expected to report improved half-yearly earnings, investors said, as easing inflation and tax cuts encouraged weary consumers to start spending again. The Australian retail sub-index, which includes Kmart and Bunnings hardware chain owner Wesfarmers, electronics retailer Harvey Norman and Mexican fast food chain Guzman y Gomez, has gained 8.2% so far this year. "On balance the discretionary retailers will report well," said Luke Winchester, portfolio manager at Merewether Capital.