Retail stocks were in retreat today as Wall Street stalled — looking ahead to an update on January unemployment Friday — and European markets languished as the region's leaders met in Brussels and Greece continued its standoff with creditors.
The S&P Retail Index was down 0.6 percent, or 3.09 points, to 554.92 and the Dow Jones Industrial Average slipped 0.2 percent, or 28.65 points, to 12,631.81 as the close approached.Among the retail decliners were New York & Co. Inc., down 11.2 percent to $2.79; Pacific Sunwear of California Inc., 5.9 percent to $1.90; American Apparel Inc., 5.5 percent to 76 cents; Charming Shoppes Inc., 3.7 percent to $4.76, and Dillard's Inc., 2.5 percent to $45.
Economists expect the unemployment rate will inch back up to 8.6 percent on Friday after falling to 8.5 percent in December. Investors are looking for a sign that the economy will continue to strengthen even as Europe appears to descend into recession.
Europe’s major stock markets closed in negative territory after France cut its growth forecast in half —to 0.5 percent—and the economic worries in the Euro zone were the focus of a summit in Brussels on today.
The recent credit downgrades of Italy, Spain and Belgium also made for a gloomy start to the week.
Paris' CAC 40 led the downward slide, falling 1.6 percent to 3,265.64, while the Milan's FTSE MIB retreated 1.2 percent to 15,753.14. The FTSE 100 in London sank 1.1 percent to 5,671.09, while the DAX in Frankfurt tumbled 1 percent to 6,444.45.
Retail and luxury stocks were, for the most part, down with the exception of Benetton Group, which soared 13.1 percent to 3.71 euros, ahead of an announcement on Tuesday of 2011 company highlights.
Among the stocks that lost the most were Burberry Group, which fell 2.1 percent to 13.26 pounds; Carrefour, which tumbled 4.1 percent to 17.51 euros following the appointment of a new chief executive, Georges Plassat, and Italian eyewear maker Safilo Group, which sank 4.6 percent to 5.10 euros.
The euro traded at $1.31, while the pound traded at $1.57.
Last week, debt watchdog Fitch Ratings downgraded Italy, Spain, Belgium, Slovenia and Cyprus on a worsening economic outlook across the Euro zone.
@kith is moving into children’s. The men’s and women’s streetwear brand has launched Kidset, a Kith kids line located in New York at 64 Bleecker Street. The line includes mini versions of staple Kith pieces like the Astor bomber jacket and the Kith box logo sweatshirts, along with a wall that can display up to 120 pairs of shoes from @adidas, @newbalance, @timberland and more. #wwdfashion
“I just wanted to create this fully rounded character, but I do think what excited me most was just the opportunity to give a group of people representation that I feel needs it. I like to do characters in projects that stand for something and Karolina definitely does, so that was really exciting to me,” @ginnygardner says of her new role in @hulu’s “The Runaways.” Gardner plays Karolina Dean, a queer superhero, which is a rarity for @marvel. Read more about Gardner’s character on WWD.com #wwdeye (📷: @dandoperalski)
@heriethpaul and @gracebol have a moment on the @victoriassecret fashion show 2017. See every look from the runway on WWD.com. Link in bio. (📷: @giovanni_giannoni_photo) #wwdfashion #victoriassecret #VSFashionShow
“Azzedine has been one of the biggest influences in my life. He has always been such a strong, loving, fatherly figure to me. I call him Papa. His designs are indescribably unique, they are pieces of art. He knew how to make the female form look its loveliest. I have so many memories of him; my favorite might be during my first show with him in Paris. He liked me and he wanted to help me get more work. He called all his friends at Kenzo and Comme des Garcons, and asked them to book me. They said, ‘But she can’t walk!’ And he said, ‘but she has such a great ass!' His friendship and support has been the great privilege of my career. I can't imagine life without him. Repose en paix mon Papa.” - @stephanieseymour tells @wwd. #wwdfashion (📷: @steveeichner) #alaia #azzedinealaia
Azzedine Alaïa, flanked by two of his closest friends, models Stephanie Seymour and Naomi Campbell.
He designed Seymour’s dress for her 1995 wedding to Peter Brant, and treated Campbell (who famously called him Papa), like a daughter. For more on the legendary designer, tap the link in bio. #wwdfashion #alaia #azzedinealaia