Retail shares finished a strong week with small gains.
The S&P 500 Retailing Industry Group rose 0.2 percent to 898.42, underperforming the broader market while still rising 1.4 percent for the week and cutting its decline for the year to 4.4 percent.
The Dow Jones Industrial Average closed up 0.8 percent at 16,154.39 while the S&P 500 picked up 0.5 percent to 1,838.63. Both gained 2.3 percent during the course of the week, reducing their declines in 2014 to 2.6 and 0.5 percent, respectively.
Investors weren’t swayed by Thursday’s report of lower retail sales in January, content to attribute it to the wintry weather that has brought traffic nearly to a standstill in much of east, and were encouraged by the Thomson Reuters/University of Michigan consumer sentiment survey showing the metric unchanged since January.
Among U.S. fashion, retail and beauty issues tracked by WWD, Coty Inc. generated the largest increase, with shares up 7.4 percent to $14.74 after the company projected top-line improvement in the second half of the year after a difficult second quarter. Vera Bradley Inc. shares rose 2.7 percent to $24.83 while J.C. Penney Co. Inc.’s shares closed above $6 for the first time in February with a 2.5 percent increase to $6.14.
However, shares of The Men’s Wearhouse Inc. receded 5.3 percent to $44.07 following Jos. A. Bank Clothiers Inc.’s agreement to purchase the parent of Eddie Bauer for $825 million in cash and stock. MW had been pursuing an acquisition of Bank, shares of which rose 0.4 percent to $55.12, through a tender offer to its shareholders.
VF Corp. fell short of analysts’ expectations for both fourth-quarter growth and 2014 guidance, sending its shares down 5.1 percent to $56.85, while Oxford Industries Inc. pulled back 3.7 percent on a fourth-quarter profit warning issued late Thursday. Sears Holdings Corp. shares closed down 4.6 percent at $41.44.
Major European markets were up for both the day and the week, with the CAC 40 in Paris and DAX in Frankfurt crossing into positive territory for the year. London’s FTSE 100 remains down for 2014 while the FTSE MIB in Milan had been ahead going into the week.
On the day, the FTSE MIB was up 1.6 percent to 20,436.47, the DAX gained 0.7 percent to 9,662.40, the CAC 40 rose 0.6 percent to 4,340.14 and the FTSE 100 picked up 0.1 percent to to 6,663.62. For the week, the DAX was up 3.9 percent, the FTSE MIB up 3.8 percent, the CAC 40 up 2.7 percent and the FTSE 100 up 1.4 percent.
Top performers for the day included French Connection, up 4.3 percent to 48 pence, and Tod’s, up 4.3 percent to 102.60 euros. Among those registering declines were Debenhams, 2 percent to 74 pence, and Luxottica, 1.5 percent to 38.85 euros.
The euro ended the week trading at $1.36 versus the U.S. dollar while the pound brought $1.66 in exchange.
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
@prada is introducing a new project at its men’s fall 2018 show this Sunday: “Prada Invites.” The fashion house invited four celebrated creative minds – @ronanaerwanbouroullec, Konstantin Grcic, @herzogdemeuron and @rem.koolhaas – to each create a unique item with its iconic nylon material. The designs will be unveiled on the runway show, which will take place at the company’s warehouse in Viale Ortles 25. #wwdfashion #mfwm (📷: @martinocarrera)
@kering_official is spinning off its stake in puma in an effort to focus on its luxury brands, the brand operator announced yesterday. “We are proud to have supported the turnaround of Puma, which now has unrivaled capabilities to take full advantage of the specific dynamics of its global markets and is poised to achieve substantial growth,” said François-Henri Pinault, Kering’s chief executive officer and chairman. Artémis will become a “long-term strategic shareholder” of Puma with a 29 percent stake. #wwdnews #wwdfashion (📷: @jilliansollazzo)
The fashion world mourns for celebrated street style photographer, Nabile Quenum, who died at age 32 in Paris.
Quenum, creator of the fashion blog “J’ai Perdu Ma Veste,” was a fashion week fixture, and regularly shot for New York magazine’s The Cut, among other outlets, and brands such as Louis Vuitton, Moncler and Adidas. He was also actively involved in the #NoFreePhotos initiative, which kicked off in the fall. Read more about Quenum in @kbsmoke's story on WWD.com. #wwdnews
@verwanggang and @maisonladuree have teamed up on a dessert collab called Vera Wang Pour Ladurée. The collection, which launched this week, features a specialty macaroon, as well as a wedding cake inspired by one of the designer’s gowns. “I could not imagine a more delicate or sophisticated creation to grace any couple’s celebration,” said Wang. #wwdfashion