Retail stocks and the major indices edged higher Thursday as investors weighed unexpectedly downbeat news about retail sales and jobs against signs, such as those issued Wednesday by the Federal Reserve, that the economy is stabilizing.
Although retail sales fell 0.1 percent in July and new unemployment claims rose to 558,000, both worse than analysts had expected, the S&P Retail Index picked up 0.3 percent to 367.91 as Wal-Mart Stores Inc. and other major stores reported better results than forecast. The Dow Jones Industrial Average rose 0.4 percent to 9,398.19 while the S&P 500 was up 0.7 percent to 1,012.73.
Shares of CIT Group Inc. spiked 13.3 percent to close at $1.45 after the company and the Federal Reserve Bank said they’d agreed for CIT to provide a capital plan on how it will maintain sufficient funds for its Utah-based bank and bank holding company.
CIT has agreed to submit details within 15 days on how it will improve the management of its liquidity position. Within 60 days, it is required to address credit risk management, such as allowances for loan and lease losses. The final task, due within 75 days, will be to outline a business plan addressing management and corporate governance.
Separately, CIT said its board adopted a rights plan to prevent shareholders or groups of shareholders from becoming owners of more than 5 percent of the firm’s stock. Although often devised to prevent takeovers, CIT said its program is designed to protect the firm’s “ability to utilize its net operating losses and other tax assets.”
Charming Shoppes Inc.’s shares jumped 11.4 percent to close at $5.65 after the specialty apparel retailer said it will sell its private label credit card program to Alliance Data Systems Corp. for a consideration totaling $110 million. The two parties signed a long-term operating agreement in which Alliance Data will service the private label credit card program.
“These collections continue to build on that vision, empowering differently abled adults to express themselves through fashion,” said @tommyhilfiger of his line of adaptive apparel, which launches today. The line consists of 37 men’s and 34 women’s styles based upon the pieces from the spring Tommy Hilfiger sportswear collection. #wwdnews
“Stranger Things” is getting a new cast member for season 2. Meet @sadiesink_, the 15-year-old who will be joining the Netflix series for its new season. You may recognize her from “The Glass Castle” with Brie Larson and Woody Harrelson, but the Texas native’s next role goes in an entirely different direction. She describes her character, Max, as “a rough and tumble skater girl [who] becomes friends with the boys at school.” The second season debuts on October 27. (📷: @jgreenery) #wwdeye
Amid the Harvey Weinstein controversy, there’s another sector that’s being put under the spotlight for sexual abuse: the modeling industry. While rumors about abuse and sexual harassment of female and male models — and the photographers, agents and others who perpetrated it — have circulated within the fashion world for years, model @cameronrussell started posting stories from models on Instagram last week about abusive situations they’ve encountered — from sexual harassment and molestation to attempted rape. Over 75 have weighed in so far. Read more on WWD.com. Link in bio. #wwdnews
To celebrate its 16th anniversary, @dylanscandybar tapped designers and celebrities to create mosaics out of candy. The mosaics will be auctioned off to support the philanthropic cause of each participant’s choice. Pictured here is the mural created by @aliceandolivia's Stacey Bendet. For a first look at some of the other artwork being unveiled tonight, go to WWD.com. #wwdeye
The annual Veuve Clicquot Polo Classic in Pacific Palisades this weekend drew Kate Hudson, Tracee Ellis Ross, Laura Dern and more. See pictures of the star-studded event on WWD.com. (📷: @chelsealaurenla) #wwdeye
In his new book “Hollywood Royale,” Andy Warhol’s Protégé Matthew Rolston celebrates the Eighties revival of Hollywood glamour. Featuring more than 100 portraits taken by Rolston from 1977 to 1993, the book contains photos of icons like Michael Jackson, Cyndi Lauper, and @drewbarrymore, pictured here in 1991. “Hollywood Royale,” out today, will be accompanied by an exhibition opening at Los Angeles’ Fahey/Klein Gallery on March 1. #wwdeye
"Nowadays when life is not so happy with everything going on in the world, I think people come to me for a little bit of whimsy and color and fun." - Designer Rebecca De Ravenel on her cult-favorite jewelry line. (📸 : @vsteves) #wwd40
“Everyone is talking about how the retail industry is struggling, but I think it’s an incredible time because brands who are doing something different and innovative are setting themselves up for the future,” said @adamgoldston, who founded the luxury athletic brand @apl with his brother @ryangoldsten. The Goldston’s are part of WWD’s 40 under 40: a group of industry notables. See the rest of the list on WWD.com. (📷: @vsteves) #wwd40
@eyeswoon blogger Athena Calderone debuted her first-ever cookbook, “Cook Beautiful,” which is heavily centered on the presentation and visual expression of food. Pictured here are her miso glazed carrots from the book. Get the recipe on WWD.com. (📷: @johnny_miller_) #wwdeye