China’s Tepid Rebound Has Left Luxury Shops Relying on US Demand
- L’Oreal shares tumble after China weakness weighs on sales
- Hermes sales were boosted by strength in Americas and Japan
Just over a year after China ended its Covid-Zero policy, the expected bounceback in spending on high-end consumer goods has failed to live up to expectations.
L’Oreal shares tumbled as much as 7.7% on Friday after the cosmetics group’s sales were hit by a sharp drop in North Asia. Hermes International, the French luxury group, topped earnings expectations but singled out Asia-Pacific excluding Japan as its weakest region.