Retail stocks fell on Wall Street today as investors picked through the minutes of last month’s Federal Reserve meeting and found some participants contemplating a tighter monetary policy — which could slow economic growth.
The S&P 500 Retailing Industry Group fell 1.3 percent, or 9.47 points, to 699.43, as the Dow Jones Industrial Average declined 0.8 percent, or 108.13, to 13,927.54. Contributing to the retail index’s decline were Abercrombie & Fitch Co., down 2.4 percent to $50.84; Nordstrom Inc., 2.3 percent to $55.15; Macy's Inc., 2.3 percent to $39.51, and Tiffany & Co., 1.9 percent to $64.40.
Shares of Michael Kors Holdings Ltd. also fell, dropping 5.2percent to $61.50, after the company said late Tuesday that early investors planned to sell another 25 million Kors shares on the open market. The news came just after the stock hit an all-time high of $64.84.
Minutes from the last Fed meeting on monetary policy showed, “a number of participants stated that an ongoing evaluation of the efficacy, costs, and risks of asset purchases might well lead the committee to taper or end its [debt] purchases before it judged that a substantial improvement in the outlook for the labor market had occurred.”
Others at the meeting argued the Fed should continue to buy back debt.
The central bank, led by chairman Ben S. Bernanke, has been buying debt to keep interest rates low in hopes of growing the economy fast enough to bring down unemployment, currently at 7.9 percent.
In Europe, stock markets were mostly down. The FTSE MIB in Milan retreated 0.8 percent to 16,527.50 as the CAC 40 in Paris was down 0.7 percent to 3,709.88 and the DAX in Frankfurt fell 0.3 percent to 7,728.90.
The FTSE 100 in London edged up 0.3 percent to 6,395.37.
Retail and luxury stocks were also mixed, with the day’s biggest gainers including Hugo Boss, up 2.4 percent to 89.47 euros; Luxottica Group, 1.5 percent to 34.89 euros, and Yoox, 2.3 percent to 14.47 euros.
Among the stocks that lost the most ground were Metro AG, down 1.3 percent to 24.00 euros; Inditex, 1.8 percent to 100.65 euros, and Asos.com, 1.6 percent to 27.85 pounds. The euro traded at $1.34 while the pound went for $1.55 and the Swiss franc traded at $1.08.
EXCLUSIVE: @tomford is opening its first-ever beauty store. The boutique, which opens November 20 in London’s Covent Gardens, was designed with the over-the-top glam Ford is known for. Read the full story on WWD.com, link in bio. #wwdbeauty #wwdnews (📷: Simon Wagner) #TomFordBeauty
New York-based DJ @harleyvnewton threw a party to celebrate the holiday collection of her dress and pajama line @hvn at the Ladurée Beverly Hills. It Girls @katebosworth, @rashidajones and more joined in on the fun, which included cocktails, croque monsieur sandwiches and a photo booth. #wwdfashion (📷: Owen Kolasinski/BFA.com)
For the holidays, @Burberry partnered with 20-year-old artist @blondeymccoy on a series of three outdoor murals in downtown Manhattan. The murals are McCoy’s interpretation of a Christmas eve party, the idea of charity and the spirit of family. His third mural, pictured here, is the most personal. The image depicts McCoy’s grandparents and father in London’s Trafalgar Square in the Seventies. “My work often features lots of sentimental objects.” #wwdeye
For spring 2018, designers applied bold colors and cartoonish motifs on everything from sneakers and belts to key chains. See all the top men’s accessories trends on WWD.com. #wwdtrends (📷: George Chinsee; Prop Styling by @rnasti; Market Editor: @luiscampuzano)
The @dior-sponsored @guggenheim international gala pre-party has a history of drawing cool-girl musical acts to serenade the crowd –– and last night was no exception. @haimtheband performed songs both new and old, and lured a star-studded audience with the likes of Rebecca Hall, Kate Mara, Mamoudou Athie and more. #wwdeye (📷: @lexieblacklock)
In a partnership between the @metopera and the @englishnationalopera, “Marnie” was born. The opera, with costumes sponsored by @mrporterlive, is an adaptation of the 1961 thriller by Winston Graham. Arianne Phillips, who created the costumes, is no rookie: She’s styled Madonna for her tours and created costumes for a myriad of films in the past. Read WWD’s interview with Phillips, where she talks about her inspiration for the opera’s costumes on WWD.com #wwdfashion
@barneysnyc took a different approach to their holiday windows this year. Instead of Christmas decor, Barneys tapped @thehaasbrothers to tell a story of positivity, gratitude and inclusivity via heartwarming silliness and humor. “It’s about kids and it’s about coming together and being family and loving each other,” said Simon Haas. #wwdfashion (📷: @joshuascottphoto)
Beauty influencer @kandeejohnson makes her foray into hair care with a collaboration with @ogx_beauty — making it the first time that OGX has teamed up for a product creation. The collab includes shampoos and conditioners in three scents. At 39 and a mom, Johnson is a different profile than the emerging social media stars, but is considered one of the pioneers of the digital beauty influencer world. Read WWD’s interview with her on wwd.com, including the strangest beauty product she’s ever tried #wwdbeauty