By Denny Jacob
Shares of retail and apparel companies jumped Monday, part of a broader market rally following a de-escalation in the trade war between the U.S. and China. The agreement came faster than expected and eased tariffs more than Wall Street had anticipated, fueling optimism that consumers and businesses alike will have more stable conditions to work around.
The U.S. and China agreed to dramatically scale back sky-high tariffs on each other's goods. After weekend talks in Geneva, the countries said Monday that President Trump's "reciprocal" tariff on China would be slashed to 10% from 125% and that the reductions would last for 90 days while negotiations are ongoing.
Here's a breakdown of stock movement for some companies in each sector:
Retail
--Five Below - up 21% to $102.87. The stock is on pace for its largest increase in over five years.
--Target - up 3.4% to $99.70.
--Ross Stores - up 3% to $146.52.
--Burlington Stores - up 5.9% to $253.47.
Apparel
--American Eagle - up 7.2% to $11.96.
--Urban Outfitters - up 7% to $55.47.
--Lululemon - up 7.8% to $301.58.
--Abercrombie - up 5.5% to $77.18.
--PVH - up 6.5% to $79.28.
Write to Denny Jacob at denny.jacob@wsj.com
(END) Dow Jones Newswires
May 12, 2025 11:13 ET (15:13 GMT)
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