General Retail & Luxury Weekly: Industry Update

Research evidence excerpt

General Retail & Luxury Weekly: Industry Update

Deutsche Bank

Research

Europe Industry Date

6 July 2026

Retail General Retail &

Retail - Non Food Industry Update

Luxury Weekly

Retail & Luxury Look of the Week

Adam Cochrane

The week in one page Research Analyst

Happy Independence Day to our US readers in a week that has been more positive +44-20-754-17812

across global markets with the US and European markets up 2% over the week. The

Benjamin Yokyong-Zoega

only thing hotter is the weather with a heatwave set to return in Europe which will Research Analyst

ensure the upcoming trading updates have plenty of weather-related commentary. +44-20-754-12338

In fact, El Nino was even referred to in the AB Foods trading update as a risk to its

Do-Hyun Yoo

African Sugar business. The BDO UK High Street sales tracker saw a slowdown in

Research Associate

June to +0.6% (from c.+3% in May) albeit with online sales +6.9% as consumers

+44-20-754-19487

prefer to let delivery companies battle the heat. For the upcoming Luxury reporting

season we do not expect weather to be quite so relevant but the investor Shwetha Ramachandran

expectations have been increasing aided by the wealth effect in the US and Korea. Research Associate

The risk going into the 1H Luxury reporting is whether the investor bar has started

to get ahead of itself.

The Luxury sector was -2% to flat this week with outperformers Pandora +1%

(broker upgrades on earnings visibility improving) and Brunello Cucinelli +1% with

underperformers Kering -7% (cautious pre-close call) and Burberry -4% (limited

sequential improvement expected in its 1Q with Korea not as strong as hoped).

Retail was up +1-4% with outperformers ASOS +15% (US distribution centre sale),