Retail shares and the broader market bounced back today.
The S&P 500 Retailing Industry Group rose 1.2 percent to 854.89, erasing Tuesday's 1 percent drop, as retailers’ quarterly earning results seemed to boost investor confidence.
The Dow Jones Industrial Average advanced 1 percent to 16,533.06 while the S&P 500 picked up 0.8 percent to 1,888.03.
Shares of Tiffany & Co. gained 9.2 percent to $96.30 after it reported stronger-than-expected first-quarter sales and earnings and lifted full-year guidance. Citi Trends Inc. also pulled off an earnings “beat” and was rewarded with a 15.3 percent gain in its shares, which closed at $19.76.
Target Corp. shares picked up ground, rising 1 percent to $57.20, as its earnings fell more than expected but its U.S. same-store sales declined 0.3 percent, less than the 1.1 percent drop expected on average by analysts.
American Eagle Outfitters Inc.’s shares were off 6.4 percent to $10.60 after it said it would close additional stores following its 86.2 percent drop in first-quarter profits.
Among the other retailers losing ground were The Wet Seal Inc., down 6.9 percent to 93 cents, and J.C. Penney Co. Inc. and Sears Holdings Corp., both of which saw shares recede 3.7 percent, to $8.60 and $36.56, respectively.
While sensitive to earnings reports in the wake of a difficult first quarter, investors appeared unmoved by disclosure in the afternoon of the minutes from the April 30 meeting of the Federal Reserve’s Open Market Committee. IHS Global Insight economist Paul Edelstein said the narrative did nothing to challenge the IHS view that bond buying will end this year, “but that interest rate hikes will wait until mid-2015.”
Europe’s major markets finished the day with gains with many fashion, luxury and retail stocks also in positive territory.
The FTSE MIB in Milan led the gainers, climbing 1.1 percent to 20,597.51, followed by the DAX in Frankfurt, which rose 0.6 percent to 9,697.87. The CAC 40 in Paris increased 0.4 percent to 4,468.03, followed by the FTSE 100 in London, up 0.3 percent to 6,821.04.
Sentiment in London was lifted by positive retail sales data released by the U.K.’s Office for National Statistics, which showed that the U.K.’s retail sales grew 6.9 percent in April compared to the same month last year, and by 1.3 percent compared to March 2014.
Stocks in the retail and fashion sectors that made gains included Asos.com, up 1.7 percent to 40.68 pounds; Safilo Group, 1.1 percent to 15.74 euros; Yoox Group, 1.4 percent to 22.53 euros, and Ted Baker, 2 percent to 17.95 pounds. Burberry closed up 0.2 percent to 15.18 pounds after reporting a 26.8 percent rise in profits to 322.5 million pounds, or $512.8 million.
The decliners included Koovs, down 2.2 percent to 1.53 pounds, while fellow online retailer Boohoo.com fell 3.2 percent to 43 pence. Moncler lost 0.6 percent to 12.50 euros and Kering dipped 0.7 percent to 160.65 euros.
The pound traded for $1.68 against the U.S. dollar, while the euro changed hands for $1.37.
“These collections continue to build on that vision, empowering differently abled adults to express themselves through fashion,” said @tommyhilfiger of his line of adaptive apparel, which launches today. The line consists of 37 men’s and 34 women’s styles based upon the pieces from the spring Tommy Hilfiger sportswear collection. #wwdnews
“Stranger Things” is getting a new cast member for season 2. Meet @sadiesink_, the 15-year-old who will be joining the Netflix series for its new season. You may recognize her from “The Glass Castle” with Brie Larson and Woody Harrelson, but the Texas native’s next role goes in an entirely different direction. She describes her character, Max, as “a rough and tumble skater girl [who] becomes friends with the boys at school.” The second season debuts on October 27. (📷: @jgreenery) #wwdeye
Amid the Harvey Weinstein controversy, there’s another sector that’s being put under the spotlight for sexual abuse: the modeling industry. While rumors about abuse and sexual harassment of female and male models — and the photographers, agents and others who perpetrated it — have circulated within the fashion world for years, model @cameronrussell started posting stories from models on Instagram last week about abusive situations they’ve encountered — from sexual harassment and molestation to attempted rape. Over 75 have weighed in so far. Read more on WWD.com. Link in bio. #wwdnews
To celebrate its 16th anniversary, @dylanscandybar tapped designers and celebrities to create mosaics out of candy. The mosaics will be auctioned off to support the philanthropic cause of each participant’s choice. Pictured here is the mural created by @aliceandolivia's Stacey Bendet. For a first look at some of the other artwork being unveiled tonight, go to WWD.com. #wwdeye
The annual Veuve Clicquot Polo Classic in Pacific Palisades this weekend drew Kate Hudson, Tracee Ellis Ross, Laura Dern and more. See pictures of the star-studded event on WWD.com. (📷: @chelsealaurenla) #wwdeye
In his new book “Hollywood Royale,” Andy Warhol’s Protégé Matthew Rolston celebrates the Eighties revival of Hollywood glamour. Featuring more than 100 portraits taken by Rolston from 1977 to 1993, the book contains photos of icons like Michael Jackson, Cyndi Lauper, and @drewbarrymore, pictured here in 1991. “Hollywood Royale,” out today, will be accompanied by an exhibition opening at Los Angeles’ Fahey/Klein Gallery on March 1. #wwdeye
"Nowadays when life is not so happy with everything going on in the world, I think people come to me for a little bit of whimsy and color and fun." - Designer Rebecca De Ravenel on her cult-favorite jewelry line. (📸 : @vsteves) #wwd40
“Everyone is talking about how the retail industry is struggling, but I think it’s an incredible time because brands who are doing something different and innovative are setting themselves up for the future,” said @adamgoldston, who founded the luxury athletic brand @apl with his brother @ryangoldsten. The Goldston’s are part of WWD’s 40 under 40: a group of industry notables. See the rest of the list on WWD.com. (📷: @vsteves) #wwd40
@eyeswoon blogger Athena Calderone debuted her first-ever cookbook, “Cook Beautiful,” which is heavily centered on the presentation and visual expression of food. Pictured here are her miso glazed carrots from the book. Get the recipe on WWD.com. (📷: @johnny_miller_) #wwdeye