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Markets Gain on Earnings, German Sentiment

U.S. retail stocks miss boat and slip modestly.

Stock markets rose today as corporate profits continued to surpass expectations and business sentiment improved in Germany.

 

U.S. retail stocks missed out on the gains, however. The S&P Retail Index fell 0.2 percent, or 1 point, to 620.21. The Dow Jones Industrial Average rose back above 13,000, gaining 0.5 percent, or 65.16 points, to 13,029.26 after General Electric surpassed first-quarter profit expectations.

 

Even though retail stocks were down overall, there were some fashion winners. Shares of Hanesbrands Inc. shot up 11.4 percent to $30.02 after the firm logged $26.8 million in first-quarter losses, but still topped expectations. And Under Armour Inc.’s stock gained 5.2 percent to $101.53 following the company’s first-quarter report, which showed double-digit percentage gains in profits and revenues.

 

In Europe, Frankfurt’s DAX climbed 1.2 percent to 6,750.12. Germany’s Ifo Business Climate Index reported a slight rise in April compared to the previous month, to 109.9.

 

The FTSE MIB in Milan rose 0.8 percent to 14,401.78, while the FTSE 100 in London rose 0.5 percent to 5,772.15. The CAC 40 in Paris also closed up 0.5 percent to 3,188.58.

 

Some British retailers and brands saw their shares rise after the U.K.’s Office of National Statistics said retail sales volumes in the U.K. rose by 3.3 percent in March, compared with the same month last year, and by 1.8 percent compared with February.

 

Burberry increased 0.4 percent to 14.95 pounds, while Marks & Spencer rose 2 percent to 3.62 pounds.

 

Other fashion and luxury risers included Hugo Boss, up 1.5 percent to 87.81 euros, and LVMH Moët Hennessy Louis Vuitton, up 1.7 percent to 123.40 euros.

 

In Hong Kong, shares of Prada were up 4.6 percent to 54.15 Hong Kong dollars.

 

The euro traded for $1.40 today, while the pound traded for $1.60 and the Hong Kong dollar traded for 12 cents.