Luxury Stocks Resume Slide as ‘Third Phase of Slowdown’ Starts
- Scale of demand weakness will be clearer only mid-2019: SocGen
- Goldman Sachs cuts its prediction for 2019 revenue growth
Photographer: Alessia Pierdomenico/Bloomberg
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Shares of Moncler SpA, Tod’s SpA and other European luxury stocks dropped as Societe Generale SA analysts flagged a succession of “negative signals” from high-spending consumers in that region, the Middle East, China and Japan that could trigger sales and profit downgrades.
Moncler was the worst-performing clothier on the Stoxx 600 Personal & Household Goods index, trading down 2.7 percent at 3 p.m. in Milan, while Tod’s fell 4.1 percent to its lowest level since August 2009, based on closing prices. Swatch Group AG lost 2.3 percent in Zurich, while Kering SA, LVMH Moet Hennessy Louis Vuitton SE, Hermes International and Burberry Group Plc were were down at least 1 percent.