BEIJING – China’s benchmark stock index tumbled by 7.7 points on Tuesday – the steepest decline in a year – underscoring growing unease among investors about long-term prospects for economic stability.The Shanghai Composite Index fell by 257 points in the first day of trading since the Chinese central bank announced over the weekend that it would tighten credit outflows by raising reserve ratios on consumer banks by 1 percent this month to a record-high level. With the markets closed for the Chinese dragon boat festival on Monday, Tuesday was also the first day of trading since the price of oil hit $140 a barrel, another likely factor in the sell-off, economists said.Over the weekend, the People’s Bank of China said it will increase this month to 17.5 percent the amount of cash banks must hold in reserve, on the heels of growing concern over rising inflation and worries about the cost of damage and rebuilding after the May 12 earthquake in Sichuan province. The bank has raised reserve ratios multiple times in the past year, hoping in part to help curb record-paced inflation. Consumer prices rose by a near-record 8.5 percent in April and figures for June are due out on Thursday.Analysts said Tuesday’s drop was likely temporary and the markets would recover.“I think the market is over-reacting,” said Zhai Biao, and analyst with Guotai Jun’an Securities. “There are emotions involved.”China’s volatile stock exchanges, widely considered heavily overvalued, have fallen by 44 percent since the start of this year. On Tuesday, Internet chat sites were ablaze with angry comments after the stock market plunge, with many commenters critical of a perceived failure of government policies to protect investors.Cautioned one: “Remember, very few people make money in the stock market – it’s like getting a ticket for the opening ceremony of the Olympics.” For complete coverage, see Wednesday’s issue of WWD.
To celebrate Pride 2018, @themarcjacobs released the #GratefulNotHateful campaign, a social media initiative aimed at extending Pride beyond the parade. Inspired by Jacobs’ everyday outlook, the campaign features Jacobs along with a group of models and social media stars who are members and supporters of the LGBT community, all seen wearing @marcbeauty’s Highliner Gel Eye Crayons in colors of the rainbow. Head to our Instagram stories to see close-ups of the liner. #wwdbeauty
Virgil Abloh’s dad Nee and Don Crawley, cofounder of RSVP Gallery, were some of the hometown crew at the Chicago-born designer’s debut show for Louis Vuitton. (📸: @jdiderich ) #wwdmens #louisvuitton #virgilabloh
About last night: @marycharteris and @adwoaaboah hit up Hyde Park for the Serpentine Galleries’ annual summer party held in partnership with @chanelofficial. Head to WWD.com to see more photos. #wwdfashion
“This is Paris, my first show. I’m all about democracy. If some kid shows up, flew from New Jersey to just be around, let’s get him a seat.” — @virgilabloh tells WWD’s @jdiderich ahead of his first show for @louisvuitton men’s. (📸: @alfredo_piola ) #wwdmens #virgilabloh #louisvuitton
“Kate Spade was a true fashion icon who brought joy to the lives of women around the world, and inspired women to live life to the fullest. We are dedicated to carrying on her legacy,” said Anna Bakst, brand president and chief executive officer of @katespadeny. The Kate Spade Foundation announced that it will be donating $1 million to suicide prevention and mental health awareness in tribute to the recent death of Kate Spade. Read more on WWD.com. #wwdnews (📷: @chinseephoto)
A first look at @virgilabloh’s sneakers for @louisvuitton. Abloh spoke to WWD about his debut collection for Louis Vuitton, creating @kendalljenner’s #metgala outfit and redefining the heritage brand. Read the full story on WWD.com. #wwdfashion 📷: @alfredo_piola)
The world’s largest producer of denim @iskodenim is sharing the strategy behind its product development process. Read our full interview with ISKO’s product development manager Baris Ozden on the company’s extensive research practices, upcoming denim trends and the latest material innovations on WWD.com. #iskodenim