5pm update: The Dow ended the day down 350 points, while the Nasdaq declined 122 points.
Markets around the world were down on Monday following weekend developments in Greece’s debt crisis that could lead the country to default on its debt and subsequently exit the eurozone.
The Dow Jones Industrial Average tumbled about 220 points in mid-day trading, while the Nasdaq declined about 72 points. Not surprisingly, most footwear stocks were impacted amid the broader market declines.
Nike — whose shares shoot up last week after it delivered a stellar earnings report — was down 1.14 percent, to 108.46. Under Armour, which has also been a Wall Street darling of late, saw its shares fall about 2.42 percent, to 83.85. Steve Madden, DSW and VF Corp. were all down more than 1 percent.
Of the major footwear players, Skechers and Finish Line were among the few market gainers on Monday. Finish Line delivered stronger-than-expected earnings last Friday, while Skechers had seen some short-term pressure in recent days.
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Global markets are stressed after Greece closed its banks and markets for a week. Over the weekend, Prime Minister Alexis Tsipras called for a July 5 referendum that would determine whether Greece will adhere to its international creditors’ terms.
If Greece is unable to make its loan repayment to the International Monetary Fund by tomorrow’s deadline, the crisis could result in Greece leaving the eurozone, which would send shockwaves through the European Union. But many insiders believe last-ditch negotiations will prevent that from happening.