Japanese companies crown the IndexWednesday, 08 September 2010
Tuesdays Index closed in 1075.49, rising by 4.7 and
compared to the previous days closure in 1070.79 points. It is being a good start for the week, with a considerable increase in comparison with last week, when the FashionUnited Top 100 Index slightly fell.
Puma AG felt by more than 10%, becoming one of the worst values of the day. It should be remarked, nevertheless, that it was not much better for the rest of the athletic apparel and footwear companies gathered in this selective, as the likes as Nike, Nordstrom, Foot Locker, Asics, or Columbia Sportswear also reported losses. The outstanding exception was JD Sports Fashion, with a gain of 3 points. Adidas escalated a humble 0.18 points in the meantime.
In the winners chapters we find Ted Baker, which broke the previous days spell and hiked 14.46 points; Burberry Group, with an increase of 3.5 points, or Hermés International, leaving behind a quite forgettable period by climbing 1.15 points. Also the Japanese United Arrows and Onward Holdings drawn the attention of investors to their performances.
Regarding the corporate figures release, Lululemon Athletica y PVH report their quarterly results this week, which might bring caution on their respective performances. PVH lost 0.24% soon after reported a second-quarter loss as a result of acquisition costs related to the company’s merger with Tommy Hilfiger, but revenue soared and adjusted earnings per share beat expectations.
Cotton growers are pleased at the increase in cotton prices, boosted by relaxation of export curbs, the textile industry, particularly apparel exporters, seem uneasy. Main worry for Indian exporters, per instance, is that the sustained 18-month rally in cotton prices and the consequential spurt in the cost of cotton yarn would dent the competitiveness of India-made garments in global markets.
Similar fears share the Australian rival brands Quiksilver and Billabong, which have joint efforts to warn of tough trading conditions for branded clothes, especially among youth-aligned retailers, with Australia faring just as badly as the recession-hit US and Europe.