Investors pushed stocks down Monday and retail shares lost more ground than most. Continued concerns about the health of the financial sector prompted major indices to give back some of the gains made last week, which ended with three consecutive days of rising stock prices. On Monday, the Dow Jones Industrial Average ended down 2.1 percent, or 241.81 points, to 11,386.25 as the S&P 500 was off a milder 2 percent, or 25.36 points, to 1,266.84. Shares in the S&P Retail Index, however, were on a steeper trajectory down and dropped 2.4 percent, or 9.46 points, to 388.18.
This story first appeared in the August 26, 2008 issue of WWD. Subscribe Today.
Talbots was among those taking the biggest hit — down 9.5 percent. The retailer, which will report its second-quarter financial results Wednesday, said earlier this month that its comparable-store sales for the period fell 12 percent. Among the specialty stores posting more modest declines for the day were Charlotte Russe, The Dress Barn, Gap and Pacific Sunwear. Hot Topic managed to buck the trend with an 8 percent rise. Investors also sold off shares of department stores and national chains Monday, including Dillard’s, Macy’s, J.C. Penney and Kohl’s. Vendors losing ground included Columbia Sportswear, Kenneth Cole, Nike, Phillips-Van Heusen and Polo Ralph Lauren.
*Editor’s note: European stocks are quoted in the currency of their principal exchanges. Shares on the London Stock Exchange are quoted in pence, Richemont and The Swatch Group are quoted in Swiss francs and Hennes & Mauritz is quoted in Swedish kronor. All other European stocks are in euros.