Global equity indices turned south in most major markets over concerns about the strength of the economic recovery.
In Asia, the Nikkei 225 in Tokyo was the exception, rising 3 percent to 12,362.20. In Hong Kong, the Hang Seng Index dipped 0.1 percent to 22,337.49.
In Europe, the slide was led by the FTSE MIB in Milan.
The Italian market closed down 2.3 percent to 15,200.30, dented by the country’s political limbo: Pier Luigi Bersani has failed to form a government, and the Italian president Giorgio Napolitano is now relying on a group of ten “wise men” to cobble together reforms that will keep the country afloat until the next round of elections.
The CAC 40 in Paris sank 1.3 percent to 3,754.96; the FTSE 100 in London 1.1 percent to 6,420.28; and the DAX in Frankfurt 0.9 percent to 7,874.75.
Retail and luxury stocks were mostly down, with the day’s biggest decliners including Burberry Group, down 3.3 percent to 12.82 pounds; Debenhams, 3.4 percent to 81 pence; Geox, 4.4 percent to 2.08 euros, and Mulberry Group 2.8 percent to 9.81 pounds.
In the U.S., the Dow Jones Industrial Average fell 0.8 percent to 14,550.35, while the S&P 500 Retailing Industry Group decreased 0.4 percent to 538.93.
American Apparel Inc. led the retail stocks that lost ground, losing 5.2 percent to $2, followed by Cache Inc., which fell 3.2 percent to $4.
Pacific Sunwear of California Inc. was one of the exceptions, rising 6.3 percent to $2.21. Abercrombie & Fitch was another, gaining 3.8 percent to $47.20.
Breaking News: @louisvuitton's men's artistic director @mrkimjones is leaving the French fashion house after nearly 7 years. Jones joined Louis Vuitton in 2011, following a three year tenure as creative director of British luxury goods brand Alfred Dunhill. Jones is to exit Louis Vuitton after showing his fall 2018 collection for the brand in Paris on Thursday. Read the full exclusive story on WWD.com. Link in bio. #wwdnews #wwdfashion
For men’s fall 2018, @giuseppezanotti drew on elements from streetwear, sport, biker, combat and rock ‘n’ roll. Pictured here are a pair of shoes from the collection, featuring zippers, rhinestones, and silver hardware. Head to WWD.com to see a roundup of the accessories from Milan’s men’s fall 2018 shows. #wwdfashion (📷: Andrea Delb)
To celebrate the 25th anniversary of @ralphlauren’s snowboarding collection, the brand is mining its archives. The iconic brand is reintroducing vintage styles and dropping new designs for a color capsule that will be available in Ralph Lauren stores and @openingceremony on January 25. The capsule will consist of 10 pieces, including the Snow Beach Pullover, pictured here, which is a collector’s item that rapper Raekwon wore in Wu-Tang Clan’s “Can It Be All So Simple” video. #wwdfashion (📷: Tom Gould)
For @rochasofficial’s pre-fall 2018 collection, creative director Alessandro Dell’Acqua channeled the sophisticated and intriguing Catherine Denevue in the film “Belle de Jour.” Polished collarless coats, midi skirts, suits and ’60s graphic motifs were all featured in the collection, adding a sense of discreet luxury. See the rest of the photos on WWD.com #wwdfashion
“We tried to produce clothing of that couture quality, but the most daunting part was that we only had a matter of days [to do it],” said costume designer Lou Eyrich, who recreated Gianni Versace’s iconic looks for @americancrimestoryfx. Eyrich searched online retailers and vintage shops for original pieces from the design house and for @penelopecruzoficial, who plays Donatella Versace. Head to WWD.com to read how she created the Versace world. #wwdfashion
Only three months after her stellar debut catwalk season, @kaiagerber has inked her first big design collaboration –– with @karllagerfeld. The collection blends Lagerfeld’s Parisian chic aesthetic and the model’s signature West Coast casual style via RTW, accessories, footwear and more. The #KarlLagerfeldxKaia collection will launch in September with a series of events. Get all the details on WWD.com. #wwdnews #wwdfashion
Harrods plans to remove the famous statue of Princess Diana and Dodi Al Fayed from the bottom of the Egyptian escalators and hand it back to Mohamed Al-Fayed. “We are very proud to have played our role in celebrating the lives of Diana, Princess of Wales and Dodi Al Fayed at Harrods and to have welcomed people from around the world to visit the memorial for the past 20 years,” said Michael Ward, Harrods managing director. “With the announcement of the new official memorial statue to Diana, Princess of Wales at Kensington Palace, we feel that the time is right to return this memorial to Mr. Al Fayed and for the public to be invited to pay their respects at the palace.” More on the news, with reporting by @loreleimarfil, at WWD.com. #wwdnews