Trump tweet on daugh­ter shakes Nord­strom stock

The Hamilton Spectator - - BUSINESS -

NEW YORK — Pres­i­dent Don­ald Trump tweeted Wed­nes­day that Nord­strom, which de­cided to stop sell­ing Ivanka Trump’s cloth­ing and ac­ces­sory line, treated his daugh­ter “so un­fairly.” Nord­strom shares dropped af­ter the tweet but later re­cov­ered.

The depart­ment store chain had said last week that it made the de­ci­sion based on the brand’s per­for­mance, and that each year it re­plen­ishes about 10 per cent of its sup­ply with new prod­ucts.

“My daugh­ter Ivanka has been treated so un­fairly by @Nord­strom. She is a great per­son — al­ways push­ing me to do the right thing! Ter­ri­ble!” It was retweeted more than 6,000 times in less than an hour.

Nord­strom didn’t im­me­di­ately re­spond to a re­quest for com­ment. In a state­ment Fri­day, Nord­strom had said it has more than 2,000 prod­ucts on its web­site alone. “Re­view­ing their merit and mak­ing ed­its is part of the reg­u­lar rhythm of our busi­ness.”

It’s not the first time Trump’s tweets have at least tem­po­rar­ily af­fected a stock. U.S. au­tomak­ers Boe­ing and Car­rier have also suf­fered af­ter his com­ments on Twit­ter. But com­pa­nies are clearly wrestling with a new dy­namic.

“What we are see­ing is that we are liv­ing in a world with a dif­fer­ent kind of chief ex­ec­u­tive in the White House,” said Matthew Shay, pres­i­dent and CEO of the Na­tional Re­tail Fed­er­a­tion, the largest re­tail trade group, dur­ing a con­fer­ence call with re­porters Wed­nes­day. “He has a strong opin­ion on is­sues. We are learn­ing to work in the en­vi­ron­ment.”

A so­cial me­dia cam­paign called “Grab Your Wal­let” has urged a boy­cott of stores that stock Ivanka Trump or Don­ald Trump prod­ucts.

Ivanka Trump has said she would take a leave of ab­sence from her cloth­ing and ac­ces­sories busi­ness as well as the Trump or­ga­ni­za­tion. Rose­mary K. Young, se­nior di­rec­tor of mar­ket­ing at Ivanka Trump, said last week that the brand is ex­pand­ing and saw “sig­nif­i­cant” rev­enue growth last year com­pared to the pre­vi­ous year.

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