Retail shares nosedived on Friday as investors continued to react to gloomy economic news and heightened international tensions, placing an exclamation point on a week marked by continuing erosion in the equity markets.
The Standard & Poor's Retail Index sank 3.3 percent to 380.04, closing out the week with a 4.3 percent decline. The Dow Jones Industrial Average tumbled more than 220 points for the day to close down 1.8 percent at 11,841.95, bringing the decline for the week to 3 percent.
The broader S&P 500 fell 1.9 percent to 1,317.93.
In the department store sector, Kohl's Corp. tripped 4 percent to $43.39, Sears Holdings Corp. fell 3.2 percent to $74.75, Macy's Inc. declined 3.6 percent to $20.91 and J.C. Penney Co. Inc. fell 1 percent to $36.88. Saks Inc. saw a 1.2 percent loss to end the day at $12.32, while Nordstrom Inc. decreased 3.3 percent to $36.88.
Even the more resilient discounters felt the pinch. Retail giant Wal-Mart Stores Inc. dropped 2.5 percent to $56.26, while rival Target Corp. slid 3.5 percent to end the day at $49.98. Off-price leader TJX Cos. Inc. lost 1.9 percent to end the week at $32.47.
Among women's specialty retailers, Chico's FAS Inc. sank 5.5 percent to $6.21, Charming Shoppes Inc. dropped 4.7 percent to $5.04, AnnTaylor Stores Corp. fell 2.7 percent to $25.56 and Coldwater Creek Inc. plunged 6.2 percent to $5.71.
Gap Inc. fell 2.4 percent to close at $17.45, while Limited Brands Inc. dropped 4 percent to $18.21.
In the teen space, Pacific Sunwear of California Inc. declined 7 percent to $9.18, Guess Inc. dropped 3.3 percent to $39.81, Buckle Inc. dropped 2.6 percent to $47.95 and Abercrombie & Fitch Co. fell 2 percent to $67.45.
One of the few gainers was Lululemon Athletica, which saw a 3.3 percent jump in shares to end the day at $28.40. Talbots Inc. increased the same amount to $13.74 following numerous executive appointments during the week.
Vendors also logged large declines for the day, with Warnaco Group Inc. off 4.1 percent to $46.76, Jones Apparel Group Inc. down 3.7 percent to $14.96 and VF down 3.5 percent to $69.74. Polo Ralph Lauren Corp. and Liz Claiborne Inc. were down a relatively modest 2.4 percent and 1.7 percent, respectively, to $64.41 and $15.99.
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