The Standard and Poor's Retail Index closed up almost 1.7 percent Wednesday after the Federal Reserve said it was cutting interest rates, but the news didn’t help the Dow Jones Industrial Average, which fell back below the 9,000 level.
In the final 10 minutes of trading, the Dow, up more than 200 points during the day, shook off most of its gains, closing down 0.82 percent, or 74.16 points, to 8,990.96. Retail shares, however, jumped 4.62 points to 282.21.
Meeting in Washington, the Federal Open Markets Committee unanimously decided to lower its target for the federal funds rate 50 basis points to 1 percent. This is the latest in a series of moves by the Fed to try to encourage the flow of credit during the economic downturn.
The Fed said that, while “the pace of economic activity appears to have slowed markedly, owing importantly to a decline in consumer expenditures,” inflation was “expected to moderate in the near term to levels consistent with price stability.”
On the retail side, department store shares soared, with The Bon-Ton Stores Inc. leading the way with a 17.9 percent gain, boosting the stock 29 cents, to $17.90. Shares of J.C. Penney Co. Inc. increased 3.98 percent, closing at $21.17, while shares of Macy’s Inc. were up 6.7 percent, to $11.03. Shares of upscale department store Saks Inc. fell 1.4 percent, to $5.62. Discount giant Wal-Mart Stores Inc. saw its stock dip 0.03 percent to $55.02.
Shares of women’s specialty retailer The Talbots Inc. climbed 18.31 percent, to $10.08, while shares of New York & Company Inc. boasted 17.3 percent gains, closing at $2.71. Shares of teen retailer American Eagle Outfitters Inc. closed up 3.5 percent, to $11.17, as rival Abercrombie & Fitch Co.’s stock fell 1 percent, to $27.61.
Apparel vendors’ results were mixed. Big gainers included True Religion Apparel Inc. and Liz Claiborne Inc., which were up 9.1 percent and 7.6 percent, respectively, to $15.70 and $7.23. Tarrant Apparel Group Inc. and Coach Inc. were among the decliners, with shares down 5.8 percent and 3.9 percent, respectively, to 49 cents and $18.63.
“What he has done at Vuitton is really exceptional,” said @gameofthrones’ actress Gwendoline Christie on @mrkimjones’ final show for @louisvuitton. “He has rebooted luxury in terms of making it commercial, viable and contemporary. And most importantly artistic. He has never compromised his artistic vision for the sake of commodity.” (📷: @zefashioninsider)
After seeing a demand for men’s wear from its customers, British contemporary women’s wear label @ariesarise has added a men’s wear component and will launch a unisex collection with @mrporterlive. The 20-piece collection includes jackets, denim, logo T-shirts and more with deconstructed ‘90s vibes. Set to launch on January 18, you can shop the pieces on Aries’ website and on mrporter.com. #wwdfashion
“And so spending so much time with a character who thinks like that, inevitability you try and analyze yourself and go back and think about your own demons and dark chapters that you had in your life,” says @thedanielbruhl of his role in TNT’s “The Alienist.” The show, set in the Gilded Age of New York, also stars Dakota Fanning and Luke Evans. Head to WWD.com to read about how 39-year-old Brühl prepared for the role and why he thinks the show is so relevant to today #wwdeye ( 📷: @Eriktanner)
Now that Celine Dion’s collection has topped $10 million in sales, the pop superstar, fashion icon and newly-minted industry player is eyeing growth in Asia. Read the full report by @tiffanyap, link in bio. #wwdnews #celinedion
“My personal philosophy to beauty is paying attention to oneself. I love to be outdoors, lots of fresh air, trying to take care of yourself as best you can. I always notice that comes through,” says Felicity Jones, the global face of @shiseido-owned @cledepeaubeauteus, which launches today. Head to WWD.com to read more about the actress’ love for beauty and how she prepared for her new role in “The Basis of Sex,” playing the young Ruth Bader Ginsburg. #wwdbeauty (📷: @dandoperalski)
Among the familiar faces at @off____white’s show was a surprise figure: Japanese artist @takashipom, pictured here on Wednesday morning. Other show-goers included @jerrylorenzo, who spoke about his upcoming project: a @nike collaboration for back to school, with designs inspired by his childhood on the West Coast. Sitting in the front row were Future, Don Crawley, @miguel and more. See the rest of the photos on WWD.com #wwdeye (📷: Stephane Feugere)
According to @laurentsai, former “Terrace House: Aloha State” cast member, she didn’t know she was auditioning for the Japanese version of “Real World.” “I was telling a couple of my friends and someone’s like, ‘That sounds a lot like Terrace House.’ I was like, ’No it can’t be.’” Turns out, it was. But Tsai isn’t just a reality star — she’s an illustrator who has worked with Starbucks Japan and most recently, she’s dipping her toes into the fashion world. Head to WWD.com to read about her time on the show, modeling and her art. #wwdeye (📷: @danieldorsa)
More changes are coming to New York Fashion Week: Beginning with the spring 2019 collection, @alexanderwangny will move his New York show to June from September, adopting a biannual schedule with collections shown in June and December. Additionally, the @cfda is planning for an official summer/winter fashion season taking place as soon as June and December 2018. Read more about the upcoming changes on WWD.com. #wwdnews #wwdfashion (📷: @slovekinpics)