NEW YORK (CNN/Money) - Many of the nation's retailers reported disappointing September sales and cut earnings guidance Thursday, hurt by economic worries, the potential for war with Iraq and shaky markets.

Many analysts initially expected September sales to show an improvement from a year ago, not because of stronger sales, necessarily, but because of easier comparisons to the year-ago period, which included the Sept. 11 terrorist attacks. But that has not proved the case.

Consumers, whose spending makes up two-thirds of economic activity, have more or less single-handedly propped up the economy, but uncertain economic news and fears over a war with Iraq have prompted many to put off clothing and other discretionary purchases, which has hurt the nation's store chains.

Instead, many Americans are buying homes and automobiles, lured by low-interest rates and zero-percent financing deals.

Adding to retailers' headaches is the labor dispute that led to a 10-day lockout of West Coast port dockworkers. Though ports resumed operations Wednesday after President Bush intervened, getting a court-ordered reopening, the delay could back up shipments and cut into the critical holiday period, when retailers make at least half of their total year's profit and sales.

Even major discounters like Wal-Mart are feeling the pinch, though they continue to far outpace department stores and other chains in sales performance because of their lower prices and broad assortment of goods.

Wal-Mart Stores (WMT: up $0.51 to $51.25, Research, Estimates), the world's largest retailer, reported a modest 3.3 percent gain in September same-store sales, a key gauge that measures sales at stores open at least one year. That's down from the 6.3 percent gain in same-store sales during the same period a year earlier.

Despite the lower sales growth, Wal-Mart said in a pre-recorded call Thursday that it remained comfortable with its third-quarter earnings forecasts of 40 to 41 cents a share, and full-year earnings of $1.76 to $1.78 a share. Analysts polled by earnings tracker First Call on average anticipate a profit of 40 cents a share for the quarter and $1.79 for the year.

The Bentonville, Ark.-based company had a 6.2 percent gain in year-to-date same-store sales, while overall sales rose 10.4 percent in the five-week period to $21.9 billion. Overall year-to-date sales are up 12.2 percent to $156.1 billion.

Target Corp. (TGT: up $0.49 to $27.24, Research, Estimates) another discount chain that has shown strong sales growth all year, reported a September same-store sales decrease of 0.8 percent. The company also reported declines at its Marshall Field's and Mervyn's Department store divisions.

Kohl's Corp (KSS: down $6.05 to $48.40, Research, Estimates), a moderately-priced department store, surprised Wall Street with a 3.2 percent decline in September same-store sales. The Menomonee Falls, Wis.-based company has consistently posted double-digit monthly sales increases all year in spite of the sluggish economy. The store's layout and product mix have become a model for competitors such as Federated and Sears, who are in the midst of redesigning their stores..

Federated Department Stores, the owner of Macy's and Bloomingdale's, reported flat September same-store sales compared with a year ago and cut its earnings and sales guidance, citing economic uncertainty and the potential for a war between the United States and Iraq.

Cincinnati-based Federated (FD: up $0.09 to $26.70, Research, Estimates) said it now expects a 30 to 35 cents a share profit in the third quarter, down from previous guidance of 35 to 45 cents a share. It also predicted third-quarter sales declines of 2 to 2.5 percent, lower than prior guidance of a 1 to 3 percent increase.

The company predicted fourth-quarter earnings of $1.95 to $2.05 a share, down from prior guidance of $2.05 to $2.20 a share, and fourth-quarter sales that are flat to 2 percent lower, compared with prior forecasts of a 1 to 3 percent increase.

For the year, Federated expects earnings of $3.30 to $3.45 a share, down from prior guidance of $3.30 to $3.55 a share; and a same-store sales decline of 2 to 3 percent.

Additionally, J.C. Penney (JCP: down $0.16 to $14.60, Research, Estimates) reported a 3.1 percent decline in September department store sales compared with an 8.1 percent increase a year earlier. Same-store sales at its Eckerd Drugstore division increased 5.7 percent.

The Plano, Texas-based retailer said it remains comfortable with Wall Street's third-quarter operating earnings forecast of 17 to 21 cents a share, and the company's own full-year guidance of 90 cents to $1 a share.

Sears Roebuck & Co., (S: down $0.96 to $27.48, Research, Estimates) which issued an earnings warning earlier this week, reported a 5.9 percent decline in September same-store sales. Hoffman Estates, Ill.-based Sears is in the midst of revamping its stores and product mix. Part of that plan includes its acquisition earlier this year of catalog retailer Lands' End.

Gap Inc., (GPS: up $0.20 to $9.50, Research, Estimates) the world's largest apparel chain, which operates the Gap, Old Navy and Banana Republic stores, reported a 2 percent decline in September same-store sales compared with a 17 percent decline a year earlier.

"For all three brands, the [port] closures have impacted the receipt of holiday merchandise that was anticipated to be delivered to stores in late October and mid November," Chief Financial Officer Heidi Kunz said. "As a result, we expect portions of the holiday flows to arrive in stores up to a few weeks later than the original anticipated in-store dates."

Kunz added that third-quarter earnings for the San Francisco-based chain would not be affected by the port closure, and said it still is too early to accurately gauge the impact on fourth-quarter results. If ports stay open, she said, Gap expects the lockout to impact fourth-quarter earnings by 2 to 7 cents a share.

Meanwhile BJ's Wholesale Club (BJ: down $0.45 to $15.70, Research, Estimates) reported a modest 0.5 percent rise in September same-store sales and slashed its earnings guidance as it unwound a lease deal, incurred pre-tax expenses for exiting the Columbus, Ohio, market and closed one store in North Dade, Fla.

The company also lowered its same-store sales forecast for the rest of the year to a 1 percent increase from a 3 percent increase.

Natick, Mass.-based BJ's now expects third-quarter earnings of 16 to 18 cents a share, fourth-quarter earnings of 80 to 82 cents a share, and full-year earnings of $1.77 to $1.81 a share. The company previously forecast 42 to 44 cents a share for the third quarter and 88 to 90 cents a share in the fourth quarter. The company did not provide a prior full-year forecast.

Analysts surveyed by First Call expected third-quarter earnings of 42 cents a share, fourth-quarter earnings of 87 cents a share, and full-year earnings of $2.11 a share.

Department store Dillard's Inc. (DDS: up $0.12 to $16.70, Research, Estimates) reported a 5 percent drop in September same-store sales. Shares of Little Rock, Ark.-based Dillard's fell $1.02 to $16.58 Wednesday.

And ShopKo Stores Inc. (SKO: up $0.26 to $11.26, Research, Estimates), a discount retailer, posted a 3.2 percent decline. Green Bay, Wis.-based ShopKo also amended its third-quarter guidance to a loss of 3 to 7 cents a share, compared with previous guidance of an 8 to 12 cents a share loss. The company also reiterated full-year guidance of $1.35 to 1.45 a share.

Upscale apparel chains weighed in with mixed results. Neiman Marcus Group Inc. (NMG: Research, Estimates) reported an 18.7 percent same-store sales jump and Talbot's Inc. (TLB: down $6.26 to $22.59, Research, Estimates) a 6.1 percent decline. Talbot's also cut its third-quarter earnings forecasts to 59 to 61 cents a share, and fourth-quarter forecasts to 48 to 53 cents. Wall Street had been expecting 70 cents for the third quarter and 62 cents in the fourth quarter, according to First Call.

For AnnTaylor Stores Corp. (ANN: up $0.41 to $21.31, Research, Estimates) September same-store sales increased 2.3 percent compared with a 13.9 percent decline a year earlier. The company said it remains comfortable with third-quarter earnings guidance of 50 to 51 cents a share. It still is assessing fourth-quarter estimates, but said the port lockout could impact margins in the period.

Jos. A. Bank Clothiers Inc. (JOSB: up $0.81 to $18.57, Research, Estimates) said its September sales increased 9.2 percent; The Children's Place (PLCE: down $0.40 to $7.20, Research, Estimates) said September same-store sales tumbled 30 percent, worse than the 11 percent decline of a year earlier; The Wet Seal Inc. (WTSLA: up $0.06 to $8.71, Research, Estimates), down 7.3 percent; Abercrombie & Fitch (ANF: down $1.53 to $15.48, Research, Estimates), down 10 percent; Limited Brands (LTD: up $0.26 to $13.40, Research, Estimates), up 6 percent; Bebe Stores Inc. (BEBE: up $0.75 to $10.75, Research, Estimates), down 2 percent.