Oil prices dropped again Tuesday, paying dividends to retail stocks.
Coming off disappointing results from American Express Co. and Wachovia Corp., stocks initially fell, but the market was soon energized by a $4 drop in the price of oil.
Closing 2.4 percent higher at 352.58, up 8.38 points, or 2.4 percent, the Standard & Poor’s Retail Index outpaced the Dow Jones Industrial Average and the S&P 500.
The Dow gained 135.16 points to close at 11,602.5, up 1.2 percent, while the S&P 500 increased 17 points, or 1.4 percent, to 1,277.
Missy retailers such as The Talbots Inc., Chico’s FAS Inc., The Dress Barn Inc. and Christopher & Banks Corp. all saw at least a 3 percent jump in their shares. Talbots closed at $11.71, up 93 cents a share, or 8.6 percent, while Chico’s stock closed at $6.11, up 23 cents, or 3.9 percent. Christopher & Banks’ stock closed at $8.38, gaining 71 cents, or 9.3 percent.
Charlotte Russe Holding Inc. rebounded from its 20.3 percent drubbing on Monday with a 78 cent, or 5.8 percent, advance.
Specialty teen retailer Zumiez Inc. was up 10.4 percent, closing at $15.03, more than erasing the 4.9 percent decline logged on Monday. Buckle Inc. closed at $51.69, up $2.73, surging 5.6 percent. Pacific Sunwear of California Inc. managed a leap of 41 cents, or 5 percent, to $8.60.
Department stores Macy’s Inc. closed at $18.55, an 83 cent, or 4.7 percent, increase, while Saks Inc. had a 5.5 percent gain, closing at $11.12.
Limited Brands Inc. also finished strongly, closing at $16.20, up 72 cents, or 4.5 percent. Dillard’s Inc. climbed 8.9 percent to 89 cents.
Wal-Mart Stores Inc. advanced 3.1 percent, while rival Target Corp. saw a 0.7 percent gain.
Among the largest advances for apparel vendors were Under Armour Inc., up 10.5 percent; Perry Ellis International Inc., up 10 percent; Columbia Sportswear Co., up 6.7 percent; Fossil Inc., up 5.9 percent and Liz Claiborne Inc. up 5.6 percent.
Peter Kim's Los Angeles-based premium denim line has always had its finger on the pulse of youth. This season, novelty is back in a way reminiscent of early Aughts, with studs, lace-ups, racing waxed denim and more. For more highlights if some of the key brands at the Vegas trade shows, go to WWD.com. #wwdfashion (📷: Patrick Gray; Styles by @thealexbadia; Story by @karihamanaka and @marcy_wwd)
"I was driving back on Saturday afternoon from the beach, and I just saw this sign saying 'Skydiving for $95.' And I was like, I can't not sky dive for $95," says Tom Bateman about a moment in Hawaii while shooting "Snatched." #wwdeye (📷: @vsteves; Interview by @ktauer; Styled by @thealexbadia)