Volatility has returned to Wall Street, and to the WWD Global Stock Tracker as well.
The Tracker fell 0.8 percent to 98.68. And while the volatility this week is a change from the sea of calmness this summer, it’s probably too soon to say that the markets are all catching the same cold. Thursday’s drop reflected investor disappointment over the outlook for global growth. The International Monetary Fund cut its global economic outlook for this year and next, citing weakness in Europe, as well as in Japan and Latin America.
Shares of The Gap Inc. lost the most ground in Thursday’s trading session, dropping 12.5 percent to $36.67. Sears Holdings Corp. fell 8.6 percent to $26.36, while American Apparel Inc. declined 7.8 percent to 65 cents. Rounding out the top four decliners was J.C. Penney Co. Inc., decreasing 6.7 percent to $7.64.
Quiksilver Inc., another American stock, posted the biggest gain of the day, up 3.9 percent to $1.62. Next was Chow Tai Fook Jewellery Group, which rose 2.4 percent to 10.34 Hong Kong dollars, or $1.33 at current exchange. Esprit Holdings rose 2.3 percent to 10.82 Hong Kong dollars, or $1.39, followed by Burberry Group plc., increasing 1.7 percent to 14.92 British pounds, or $24.12.
The major global indices all saw declines, with the exception of the DAX in Frankfurt, which rose 0.1 percent to 9,005.02.
Leading the declines among the indices was the Dow Jones Industrial Average, down 2 percent to 16,659.25. The FTSE MIB in Milan followed, down 1.3 percent to 19,382.49. The FTSE 100 in London slipped 0.8 percent to 6,431.85, while the CAC 40 in Paris inched down 0.6 percent to 4,141.45.