Disappointing summer sales weak the Index

Tuesday, 24 August 2010

After a hike on Monday, the FashionUnited Top 100 Index was down yesterday by 16.69 points, closing the session in 1041.24. As it starts to appear, the international apparel index has its weekly Achilles heel on the second day of the trading week, but keeps the average position of the last days.

In Europe it was to be found the exultation of Marks and Spencer, as the retailer has celebrated the appointment of former investment banker Robert Swannell as its new chairman with a jump of 2.3 points. The 59-year-old will earn an annual salary of £450,000 once he took over the role from Sir Stuart Rose from January next year. British high street brainchild Next started the last week of August with strength, soaring 20 points as the back to school session turns around the corner. Puma AG starts to recover last month growth path with 1.58 points up, while its competitor Adidas lost 0.13 points.

In India, Koutons Internacional gained 3.5 points while in the Japanese stock exchange Onward Holding advanced 4 points, Sanei International another 7 and United Arrows added 22 points to its previous position. In the meantime the trendy athletic footwear brand Asics Corporation dropped 4 points.

Crossing the Atlantic, Janney Capital Markets initiated coverage of the American apparel sector on Tuesday with a cautious stance because of disappointing summer and early fall trends and the potential for deep discounting the rest of the year. As recorded for Associated Press, analyst Adrienne Tennant said she's also cautious because of growing inventories across the sector, a heavy reliance on promotions and "an overall anemic consumer appetite as we distance ourselves from the pent-up demand we saw in early spring." Polo Ralph Lauren shown this blue with a loss of 2.19 points, followed by VF Corporation with a registered drop of 1.42 or Abercrombie & Fitch, losing 1.2 points just days after announcing closures within its national stores to boost its international expansion.

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