Global turmoil rocks luxury

High-income shoppers become tight-fisted, but some brands march on

Hold on to your handbags.

If spending on bling watches and "it" bags depends on stable markets and happy shoppers, then now is not the time to bet on sellers of luxury goods. Economic uncertainty stretching from China to Europe, along with global stock market and currency swings, have pricked the confidence of high-income shoppers in the US. That doesn't bode well for luxury demand.