Do weaker sales of $500 sneakers in the U.S. signal a shift in fashion or a worrying economic trend?
On Friday, two big European luxury companies reported their latest quarterly results. British raincoat maker Burberry said comparable sales increased by 1% over the 13 weeks to July 2 from a year earlier. Richemont which owns Cartier and watchmaker Vacheron Constantin, grew sales by 12% for the three months through June thanks to continued strong demand for expensive watches and jewelry. While both companies did better than expected, their shares both dropped around 3% in European trading.