Greek bailout drags European shares

The FashionUnited Top 100 Index closed in red

Tuesday as European stocks retreated by the closing of trading session, pacing losses for the fourth day, as officials raised the idea of extending Greece's debt bailout, in addition The U.S housing report showed an unexpected decline in U.S housing starts. German consumers are quite confident on national companies such as Hugo Boss and Adidas, which both reported double-digit sales increases in their home market in the first quarter of the year. In France, LVMH Moet Hennessy Louis Vuitton share as it shed 1.74% to settle at €118.60, while retail earnings reports on Tuesday gave a mixed picture as to what Wall Street can expect from the sector moving into the second-half of the year. Elsewhere, last released research by Barclays Corporate augurs the premium market will enjoy the strongest rate of growth in the clothing sector over the next few years, fuelled partly by the “Middleton effect” which has catapulted key pieces from high street chains such as Reiss and Whistles on to front pages around the world.

Barclays Corporate predicts the premium segment will be worth £8.9bn by 2014, up from today's estimated value of £6.7bn. Richard Lowe, head of retail and wholesale at Barclays Corporate, said: “Kate Middleton is expected to do for many British high street names what Michelle Obama did for J Crew in the US. Shoppers really get inspired by these big glossy images of her in styles which are very accessible.”

Despite slowing sales in recent months, the sector has defied the recession to register growth of 6.2 per cent over the past two years as consumers have bought fewer, more expensive pieces to mix and match with value items.