Sector Snap: Specialty Retailers

It was the weakest March performance in 13 years, hurt, in part, by a shift in the Easter holiday and ongoing economic worries.

Consumers continue to curb spending, concentrating mostly on food and other essential costs, as they contend with the ongoing housing downturn, diminishing credit, escalating fuel costs and recession fears.

Retailers also pointed the finger at the earliest Easter in 95 years, as many shoppers were not in the mood to buy spring clothing during cold weather.

According to a preliminary sales tally by Thomson Financial, 17 retailers missed sales expectations, while only six merchants beat estimates. The tally is based on same-store sales or sales at stores opened at least a year and are considered a key indicator of a retailer's health.

Roxanne Meyer of Oppenheimer & Co. said specialty retailers may already be looking ahead to April results.

"We think retailers are banking on an improved April given more favorable weather and easier compares, but it's a wait and see as to whether it works," she wrote in a client note.

Among specialty retailers, Gap Inc.'s stock rose 11 cents to $19, while shares of Limited Brands Inc. added 39 cents to $17.42. Ann Taylor Stores Corp.'s stock gained 56 cents to $23.38.

Elsewhere in the sector, shares of Cache Inc. fell 41 cents, or 3.9 percent, to $10.14. The stock has traded in a range of $8 to $19.04 during the past year. Shares of Chico's FAS Inc. slipped 1 cent to $6.39 after hitting a 52-week low of $5.42 earlier in the session.