Professor Glenn A. Okun
The Rabid Capitalist: The Big Point is a summary of a detailed note available to paid subscribers.
The Rabid Capitalist has previously analyzed the dubious theory that luxury goods makers were recession-proof because their wealthy customers were immune to economic contraction. Recent news from the Swiss watch industry has confirmed the disappointing results recently posted by LVMH, the major European luxury goods firm. The news supports the concern that luxury goods makers have entered a sector-wide slump.
Asian consumers were not the only disappointment for the Swiss watch makers, based on a recent report from the Federation of the Swiss Watch Industry. Most markets suffered a notable decline in demand in September. The United Kingdom (-10.7%), Hong Kong (-34.6%), China (-49.7%) and Singapore (-13.9%) exceeded 80% of the global decline. Asia (22.6%) had the worst monthly performance, while Europe (3.4%) posted a modest decline. The United States (+2.4%) remained the sole bright spot, continuing to grow.
Complete content is available for a $15 monthly subscription. Click here to subscribe:
The Rabid Capitalist 
Leave a comment