Shares in luxury brands shine, H&M falls
We’ve seen stellar gains for luxury stocks Kering and LVMH, but why are fast fashion retailer H&M’s shares sinking? IGTV’s @AngelineOng checks out the stock action.
Rising share prices for Hermès, Kering
Some respite for luxury stocks are seeing Hermès and Kering gain ground. To show you Hermès first, because Hermès is one of the key stocks that many analysts in the luxury sector watch. There is a saying that if you have been bought Hermès or you're buying Hermès, you're not up and coming: you have arrived. And it is up 2.2%.
Kering is also another interesting one that is gaining ground at this session. It is currently up some 2%. Let me just check to see. It's now up more than 2.8%, really. And all the gains are on the luxury stocks like Kering and Hermès are coming after better-than-expected economic data from China.
Don't forget, we had quite a few months of weak data out of China, which suggested that perhaps the world's second-biggest economy and consumer of luxury goods as well, a big consumer, especially with its visitors to Europe and the US, its consumption was faltering. But there are some glimmers of hope. And it seems like there are now signs that the economy there is starting to gather some steam
H&M is less fortunate
Hennes & Mauritz (H&M), just touching on retail, while we are talking about this, though, shed 4% after reporting flat sales in its most recent quarter, lagging expectations, too, as the fashion group struggles to attract customers as many consumers are now starting to buckle under the cost of living crisis.
This information has been prepared by IG, a trading name of IG Markets Limited. In addition to the disclaimer below, the material on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. IG accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication. Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients. See full non-independent research disclaimer and quarterly summary.
Seize a share opportunity today
Go long or short on thousands of international stocks.
- Increase your market exposure with leverage
- Get spreads from just 0.1% on major global shares
- Trade CFDs straight into order books with direct market access
Live prices on most popular markets
Prices above are subject to our website terms and agreements. Prices are indicative only. All share prices are delayed by at least 15 minutes.