Brexit fallout continues as the Bank of England released a report stating that it expects to experience risks to inflows as a result of the decision to leave the European Union. The pound fell another 1 percent against the dollar and hit a 31-year low.
The European major indices are all trading lower as Italy’s biggest bank Monte Paschi plunged 14 percent on Monday and was halted on Tuesday after falling another 7 percent. Many are worried about a bank run.
Asia turned in mixed results with Hong Kong and Japan down, while China was up modestly.
In the U.S., the Dow Jones Industrial Average fell by 64 points to trade at 17,885, the S&P 500 dropped by 10 points to 2,092 and the Nasdaq was off by 24 points to 4,837. The S&P Retail ETF slid by 16 cents to $42.18.
Crude oil is falling another 3 percent to $47.44 and gold is higher by almost 1 percent to $1,349 an ounce.
Sequential Brands Group Inc. closed on its acquisition of yoga brand Gaiam Inc. for about $146 million. The deal was first revealed in May and completed on schedule. The Gaiam and Spri brands will be added to Sequential’s active division, which includes the And1 and Aviva brands. Gaiam has 38,000 retail doors and 19,000 shops-in-shop and a mobile app called Yoga Studio that has more than one million downloads. Sequential also refinanced its existing credit facilities with Bank of America Merrill Lynch and GSO Capital Partners.
The Barington Group and Chico’s FAS Inc. battle continued on Friday as the activist investor released a comprehensive presentation detailing its strategic plan to improve performance and enhance long-term shareholder value. The presentation, once again highlighted its board nominees and criticized Chico’s newest board members. The stock is sliding 8 cents in early trading to $10.88. In the last three months, Chico’s stock has fallen 13 percent as the tit for tat fight continues between the two warring factions.