Why Farfetch Shares Dipped 14% This Week
Shares of Farfetch Limited (NYSE: FTCH) slipped as much as 14% this week, according to data from S&P Global Market Intelligence. The online fashion and luxury marketplace has a lot of exposure to the Chinese economy, which is struggling right now with strict COVID-19 lockdowns across the nation. There was also an announcement about Web3 initiatives by the company, as well as the broad market drop that likely affected shares this week.
As of 11:53 a.m. ET on Friday, shares of Farfetch are down 11.8% since last Friday's close.
China is a huge market for luxury items, so Farfetch has invested heavily in the region. But right now, with COVID-19 lockdowns and a strict zero-case policy, the country is struggling to recover from the pandemic.
Source Fool.com
