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It's not just about tariffs; the Luxury Goods Industry is facing a perfect storm of a 'weak dollar + strong Gold.'
The threat of tariffs is just the tip of the iceberg. The depreciation of the dollar against the euro has directly weakened the profitability of European Luxury Goods companies in the USA market; the surge in Gold prices has increased the input costs for watch and jewelry manufacturers.
Shares of Companies Within the Broader Consumer Discretionary Sector Are Trading Lower Amid Overall Market Weakness and Investor Concerns Over Deteriorating Trade Relationships.
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