Anxiety about corporate earnings sent major indices on both sides of the Atlantic down today, with retail stocks taking a particularly hard hit.
Retail stocks marked their second worst day of the year as the S&P 500 Retailing Industry Group dropped 2.9 percent to 854.86, approaching the 3 percent dropoff suffered on April 10. That erased gains earlier in the week, leaving the index down 1.5 percent for the week and off 9 percent for the year.
Declines were less severe for the Dow Jones Industrial Average which, at 16,361.46, was off 0.9 percent for the day and 0.3 percent for the week, and the S&P 500, down 0.8 percent to 1,863.40 to drop it just below breakeven for the week with a decline of less than 0.1 percent.
For the year, the Dow is off 1.3 percent while the S&P 500 is holding onto a 0.8 percent gain.
Among the dozen U.S.-based fashion, retail and beauty stocks in the “plus” column for the day were Hanesbrands Inc., up 4.7 percent to $78.94, and VF Corp., up 2.2 percent to $61.44. Both firms reported better-than-expected first-quarter earnings and raised full-year guidance, with Hanesbrands reporting late Thursday and VF early Friday.
Shares of The Wet Seal Inc. had the largest percentage increase for the day among equities tracked by WWD. The stock rose 5 percent to $1.25 after the firm said it would shutter its Arden B division and focus on its Wet Seal nameplate.
Declines were more numerous and larger. Delta Apparel Inc. shares shed 11.9 percent to $14.74 after it reported a second-quarter loss.
Investors in new technology also companies saw their investments pared. Amazon.com Inc. and Twitter Inc. sold off 9.9 and 7.2 percent, respectively, to $303.83 and $41.61, while Facebook Inc. was off 5.2 percent to $10.97.
In Europe, stock markets were down for the day but yielded mixed results for the week.
Milan’s FTSE MIB sank 1.7 percent to 21,441.57, followed by the DAX in Frankfurt, which fell 1.5 percent to 9,401.55. The CAC 40 in Paris dipped 0.8 percent to 4,443.63 while the FTSE 100 in London was down 0.3 percent to 6,685.69.
For the week, the FTSE 100 was up 0.9 percent and the CAC 400 up 0.3 percent. The FTSE MIB contracted 0.8 percent and the DAX 0.1 percent. On a year-to-date basis, the FTSE MIB remains up 13 percent and the CAC 40 ahead 3.4 percent, while the DAX is down 1.6 percent and the FTSE 100 off 0.9 percent.
Retail and luxury stocks were mostly down, with a few exceptions. Kering advanced 3.7 percent to 159 euros following the news Thursday that it was re-jigging its management team, while Mulberry Group was up 3.1 percent to 7.25 pounds, and Safilo Group rose 1.2 percent to 15.53 euros.
Among the stocks that lost the most ground were Asos.com, down 2.4 percent to 44.24 pounds; Metro AG, 2.4 percent to 28.15 euros; Koovs, 3.3 percent to 1.75 pounds, and Yoox Group, 3.8 percent to 25.34 euros.
Against the U.S. dollar, the euro traded at $1.38, while the pound fetched $1.68 and the Swiss franc was quoted at $1.13.
“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
Azzedine Alaïa's “I-did-it-my-way” ethos stood out starkly at a time when brands are experimenting with consumer-facing fashion shows, coed formats and trans-seasonal collections – anything to perk up lackluster sales of ready-to-wear in an age of Insta-everything. “It’s not creation anymore. This becomes a purely industrial approach,” the late designer told WWD in an interview last year. “But anyway, the rhythm of collections is so stupid. It’s unsustainable. There are too many collections.” Read more about the iconic designer’s life and work on wwd.com, link in bio. #wwdfashion #azzedinealaia (📷: @WWD Archive, 1986) #alaia
Sneaker reselling app @goat’s latest exhibit, "The Greatest: New York," tells the story of New York's sneaker culture. To celebrate the exhibit, an intimate crowd gathered on Thursday night at the pop-up gallery space, located at Platform in Culver City, to hear guest speaker and illustrator @esymai talk about her own rise in streetwear and women in the business. "For me I'm just someone who is creative. I like to create things," said Chang. #wwdfashion
Azzedine Alaïa, one of the most iconic couturiers of the modern era whose body-con designs defined Eighties fashion, has died in Paris. The diminutive Tunisian-born designer, known for his structured knitted dresses with fitted waists and impeccably cut, figure-hugging second skin silhouettes was deeply admired by his peers, and counted supermodel Naomi Campbell - his adoptive daughter - among his inner circle, one of a gang of glamazons including Farida Khelfa, Carla Bruni and Stephanie Seymour who became ambassadors of his style. (📷: Alexandre Guirkinger) #wwdblast