The stock market closed well before polling stations Tuesday, but investors, cheered by the prospect of soon knowing who the next president would be, pushed retail shares up 3.6 percent.
The Standard & Poor’s Retail Index advanced 10.53 points to 300.25, outperforming the Dow Jones Industrial Average, which rose 3.3 percent, or 305.45 points, to 9,625.28.
Despite all the bluster on the campaign trail and the Election Day stock market bump, there’s little sense the preliminary anointing of a new president will have any immediate impact on consumer spending.
“Consumer fundamentals are so bad right now,” said Scott Hoyt, director of consumer economics at Moody’s Economy.com. “You’ve still got declining wealth. You’ve still got big job losses in the pipeline. You’ve still got a significant problem getting cash to spend even if you want to. Even if you get a little better sentiment, I’m not sure that shows in cash registers.”
Columbia Sportswear Inc.’s shares were up 73 cents, or 2 percent, to $36.88 before the company said after market that it would cut its workforce by about 75, representing about 4 percent of its 1,800 U.S. employees. Tim Boyle, president and chief executive officer, said the firm has seen an 11 percent decline in spring orders and Columbia expects U.S. market conditions to remain challenging through next year.
Even with stock gains on Tuesday, retail shares have a lot of ground to make up, having fallen 32.6 percent from their 52-week high, reached in December.
Broadline retail stocks on the way up on Tuesday included Target Corp., rising 5.2 percent to $41.35; Kohl’s Corp., 4.9 percent to $35.06; Sears Holdings Corp., 4.3 percent to $57.05; Nordstrom Inc., 3.3 percent to $16.92, and J.C. Penney Co. Inc., 2.7 percent to $23.18.
The specialty store sector, however, was rife with declines, led by Coldwater Creek Inc.’s 24.1 percent drop to $2.59 following the preannouncement of an unexpected third-quarter loss and the withdrawal of fourth-quarter guidance. Other decliners included The Talbots Inc., down 10.3 percent to $8.26; Charlotte Russe Holding Inc., 8.1 percent to $8.31; Dress Barn Inc., 5.1 percent to $8.85; Bebe Stores Inc., 4.2 percent to $7.97, and American Eagle Outfitters Inc., 3.1 percent to $10.57.
Vendors had a mixed showing for the day, with Kenneth Cole Productions Inc. off 9.5 percent to $11.25 before reporting a third-quarter loss; Jones Apparel Group Inc., down 3.5 percent to $10.53, and Liz Claiborne Inc. off 1.3 percent to $7.43.
EXCLUSIVE: @tomford is opening its first-ever beauty store. The boutique, which opens November 20 in London’s Covent Gardens, was designed with the over-the-top glam Ford is known for. Read the full story on WWD.com, link in bio. #wwdbeauty #wwdnews (📷: Simon Wagner) #TomFordBeauty
New York-based DJ @harleyvnewton threw a party to celebrate the holiday collection of her dress and pajama line @hvn at the Ladurée Beverly Hills. It Girls @katebosworth, @rashidajones and more joined in on the fun, which included cocktails, croque monsieur sandwiches and a photo booth. #wwdfashion (📷: Owen Kolasinski/BFA.com)
For the holidays, @Burberry partnered with 20-year-old artist @blondeymccoy on a series of three outdoor murals in downtown Manhattan. The murals are McCoy’s interpretation of a Christmas eve party, the idea of charity and the spirit of family. His third mural, pictured here, is the most personal. The image depicts McCoy’s grandparents and father in London’s Trafalgar Square in the Seventies. “My work often features lots of sentimental objects.” #wwdeye
For spring 2018, designers applied bold colors and cartoonish motifs on everything from sneakers and belts to key chains. See all the top men’s accessories trends on WWD.com. #wwdtrends (📷: George Chinsee; Prop Styling by @rnasti; Market Editor: @luiscampuzano)
The @dior-sponsored @guggenheim international gala pre-party has a history of drawing cool-girl musical acts to serenade the crowd –– and last night was no exception. @haimtheband performed songs both new and old, and lured a star-studded audience with the likes of Rebecca Hall, Kate Mara, Mamoudou Athie and more. #wwdeye (📷: @lexieblacklock)
In a partnership between the @metopera and the @englishnationalopera, “Marnie” was born. The opera, with costumes sponsored by @mrporterlive, is an adaptation of the 1961 thriller by Winston Graham. Arianne Phillips, who created the costumes, is no rookie: She’s styled Madonna for her tours and created costumes for a myriad of films in the past. Read WWD’s interview with Phillips, where she talks about her inspiration for the opera’s costumes on WWD.com #wwdfashion
@barneysnyc took a different approach to their holiday windows this year. Instead of Christmas decor, Barneys tapped @thehaasbrothers to tell a story of positivity, gratitude and inclusivity via heartwarming silliness and humor. “It’s about kids and it’s about coming together and being family and loving each other,” said Simon Haas. #wwdfashion (📷: @joshuascottphoto)
Beauty influencer @kandeejohnson makes her foray into hair care with a collaboration with @ogx_beauty — making it the first time that OGX has teamed up for a product creation. The collab includes shampoos and conditioners in three scents. At 39 and a mom, Johnson is a different profile than the emerging social media stars, but is considered one of the pioneers of the digital beauty influencer world. Read WWD’s interview with her on wwd.com, including the strangest beauty product she’s ever tried #wwdbeauty