The New York Stock Exchange held a moment of silence at 9:20 a.m. for the people of Nice, France, and the latest terrorist attack.
The major European indices all traded lower in response. European consumer names took the news of another attack as a potential blow to tourism and fell accordingly.
While apparel and accessories stores continued to flag, overall U.S. retail sales enjoyed a strong increase in June as receipts jumped 0.6 percent following a 0.2 percent increase in May and increased 2.7 percent over June 2015. Economists had forecast an increase of 0.5 percent.
But clothing and accessories stores fell 1.0 percent from May 2016 and declined 0.9 percent versus June 2015. On the other hand, department stores excluding leased departments gained 0.7 percent from May, but fell 3.7 percent versus June 2015. The big increases came from furniture stores, building material stores and sporting goods stores.
Early gains by the major indices faded as investors were disappointed with earnings from the U.S. banks. The S&P 500 dropped by 3 points to 2,160, the Dow Jones Industrial Average increased by 1 points to trade at 18,508 and the Nasdaq fell by 4 points to trade at 5,029. The S&P Retail ETF fell by 5 cents to sell at $43.88.
The Barington Group finally threw in the towel and terminated its campaign to elect two independent members to Chico’s FAS Inc. board of directors. Barington said it felt it had served as a catalyst for change for at the retailer. However, the company’s very public criticism about Chico’s board nominees was rejected by the major proxy company Institutional Shareholder Services. Barington had gotten one endorsement, but not at the level of importance that ISS holds. The battle, which has been a distraction for Chico’s senior executives,looks as if it has finally come to an end and the stock was up by 7 cents to sell at $11.63.
Amazon.com Inc. acquired cloud app development tool company Cloud9 in order to provide better developer tool for Amazon Web Services. Cloud9 is a small start-up based in Amsterdam and San Francisco. Terms of the deal weren’t revealed. Amazon also said that it is opening its tenth fulfillment center in Sacramento, Calif. It’s the fourth facility revealed within the span for four months and will create over 1,000 hourly, full-time jobs. Amazon stock is slightly down to flat at $739 in early trading.