European luxury hits 3-month lows as recovery falters

Kering SA

03/09/2026 09:21

** A gauge of top European luxury stocks falls over 2% to fresh near three-month lows, dashing hopes of a sector revival as investors remain wary of a fragile demand outlook in a sector exposed to tourism and consumer confidence
** Sector bellwether LVMH LVMH.PA drops 2.5% after hitting its lowest level since 2020. Kering PRTP.PA, Hermes HRMS.PA, Burberry BRBY.L, Richemont CFR.S and Cucinelli BCU.MI also fall 2-3%, all bucking a broadly steady market .STOXX
** Hopes of progress towards ending the U.S.-Iran conflict and signs of stabilising demand help the sector recover in the second quarter, but selling pressure has remerged
** The STOXX Europe Luxury 10 Index .STXLUXP is set for four straight days of declines, down 2.3% by 0809 GMT 
** Equita says valuations have become less demanding, but cautions the context remains "fragile" and visibility on second-half growth is limited by macro and geopolitical uncertainty 
** "It is still early days for an all-in approach", Equita analyst Paola Carboni writes 

 (Reporting by Danilo Masoni, editing by Alun John)
 ((Danilo.Masoni@TR.com; Reuters Messaging: danilo.masoni.thomsonreuters.com@reuters.net))