US luxury retailers fall as China stocks rally snaps

Canada Goose Holdings

08/10/2024 10:43

** Shares of U.S. luxury retailers fall premarket after a
rally in China's stock markets following a week-long break
reversed on concerns over stimulus plans 
    ** Little insight into strong fiscal steps to bring the
slowing economy back on track snapped a two-year high in early
trade 
    ** Shares of luxury retailers, both in Europe and the U.S.,
who draw a large portion of their revenue from China, fall
    ** Shares of Estee Lauder  EL.N  down 4%, while Tapestry
 TPR.N  and U.S.-listed shares of Canada Goose  GOOS.N  down 2%
and 3.7% respectively in premarket trading
    ** Demand for luxury apparel and beauty products has
softened in China over the past two years due to weak macro
economic recovery marked by tepid manufacturing activity and
higher job insecurity
    ** YTD, EL down 34%, TPR up 24%, while GOOS.N up ~3%, as of
last close

 (Reporting by Juveria Tabassum in Bengaluru)
 ((Juveria.Tabassum@thomsonreuters.com;))