Retail shares bounced back on Tuesday, but managed to erase less than half of Monday’s record-setting decline.
The Standard & Poor’s Retail Index ended the day at 247.45, up 9.11 points, or 3.8 percent, following Monday’s 9.3 percent nosedive, the largest percentage decline since it was reset in June 2000. The retail index finished on a stronger note than the Dow Jones Industrial Average (up 3.3 percent to 8,419.09) but behind the S&P 500 (up 4 percent to 848.81).
While not the heart-stopper experienced on Monday, the session on Tuesday qualified as a nail-biter, as early afternoon gains were eradicated on the Dow, and nearly on the S&P Retail Index as well, only to rebound in the final hour of trading. The retail index ended just a hair down from its high for the day of 247.68.
Wild fluctuations have become the norm on Wall Street in recent months as investors anticipate or react to news developments, engage in short-term profit-taking or seek to limit their losses.
The second biggest advancer among the stocks tracked by WWD was specialty retailer Charming Shoppes Inc., whose shares rose 28.3 percent to $1.27, despite a downgrade from Standard & Poor’s.
The debt watchdog cut Charming Shoppes’ corporate credit rating to “B-minus” from “B” and the rating on the company’s senior unsecured debt to “CCC-plus” from “B-minus.” The rating outlook is stable.
A “CCC” rating indicates the debt is “currently vulnerable to nonpayment” and that the issuer is dependent on favorable business and economic conditions to meet its obligations, according to S&P’s rating scale.
“The downgrade is based on continued weak operating trends, which resulted in a sharp deterioration of credit metrics,” said Jackie Oberoi, S&P credit analyst. S&P also said merchandising missteps and “inadequate levels of new fashion” have hurt the Bensalem, Pa.-based retailer.
Last week, the company reported third-quarter losses of $93 million on a 7.8 percent drop in sales and unveiled additional store closures and plans to restructure operations.
@chanel and @pharrell dropped what’s being dubbed as the world’s most exclusive sneakers yesterday. The Adidas Originals NMD Hu, which Williams designed in collaboration with Chanel and @adidasoriginals, has a waiting list of over 120K people who pre-registered online at chanelatcolette.fr –– and only 500 pairs are on sale. The singer predicted the resale value of the shoes could reach $40K. Read the full interview on WWD.com. Link in bio. #wwdfashion
@imanshumpert is diving deeper into his creative endeavors and relaunching his clothing line, Post 90s, and is helping to raise money for the hurricane victims in St. Maarten with a jersey he’s designed with his brother. The Cleveland Cavaliers player talked to WWD about kneeling during the national anthem, working with fashion brands and how he wants to be more than an @nba player. Read the interview on WWD.com #wwdfashion (📷: George Chinese)
Not only does #TheProfit return to CNBC tonight, but @marcuslemonis has launched @shopmarcus, a new shopping and lifestyle retail experience in Aspen and Chicago, with more locations to come. The retail stores offer in-store stylists and a variety of contemporary womenswear selections.
“It’s life, I’m going to face it,” @mingxi11 sighed. “I fell, but you know, I think the most important thing is that I get back up. I had the love, the help from my sister — the girl next to me Gizele [Oliveira] — she’s so nice. When I went backstage everybody was trying to comfort me like ‘Oh Ming, it’s OK.’ I’m really, really touched. I think it’s them who gave me the courage to go back on stage for the finale,” Xi told WWD of her fall at the @victoriassecret fashion show. (📷: David Fisher) #wwdfashion #vsfashionshow #victoriassecret
@louisvuitton tapped @therealpeterlindbergh for its latest city-centric photo book, which is part of a series called Fashion Eye. The primarily black and white book captures the spirit of Berlin in 57 images shot between 1989 and 2019. “Berlin is an inspiration for me, more than a city. I mean @millajovovich is simply Berlin!” said Lindbergh. #wwdfashion
“You know, I think audiences expect a certain performance so I have to deliver to them what they’re expecting to a certain degree. But I’m also a different actor and a different person, I have my own spin on the character,” says @noahegalvin of his takeover of the leading role in “Dear Evan Hansen” following the departure of @bensplatt, who originated the role. Read WWD’s interview with the 23-year-old actor on WWD.com #wwdeye (📷: @jilliansollazzo)
For pre-fall 2018, @etro created richly-colored wonderland, using tapestries, textiles and wallpapers from the Eastern world at large. The line featured floral and graphic prints and jacquard motifs, like this two-piece look featured here. #wwdfashion (📷: Giovanna Pavesi)
@kith is moving into children’s. The men’s and women’s streetwear brand has launched Kidset, a Kith kids line located in New York at 64 Bleecker Street. The line includes mini versions of staple Kith pieces like the Astor bomber jacket and the Kith box logo sweatshirts, along with a wall that can display up to 120 pairs of shoes from @adidas, @newbalance, @timberland and more. #wwdfashion
“I just wanted to create this fully rounded character, but I do think what excited me most was just the opportunity to give a group of people representation that I feel needs it. I like to do characters in projects that stand for something and Karolina definitely does, so that was really exciting to me,” @ginnygardner says of her new role in @hulu’s “The Runaways.” Gardner plays Karolina Dean, a queer superhero, which is a rarity for @marvel. Read more about Gardner’s character on WWD.com #wwdeye (📷: @dandoperalski)