NEW YORK ( TheStreet) -- Fear of a slowing housing market may be weighing on investor confidence but consumers haven't stopped buying jewelry, according to TheStreet's Debra Borchardt.
Tiffany & Co. (TIF - Get Report) reported strong earnings results and raised its full-year sales forecast. The company brushed away fears of a softening China by posting stronger-than-expected sales and even saw an 11% increase in European sales, Borchardt said. Overall, global revenue rose 4.4% to $925.9 million.
Lower metal prices coupled with higher sale prices were enough to fuel investor optimism, and the company plans to open three new stores, in Mexico, Italy and China.
Movado Group (MOV - Get Report) also reported strong earnings, with a 17% jump in sales and a 59% increase in operating income. Borchardt added that the company increased its fiscal 2014 guidance and expects sales to increase 13%.Signet Jewelers (SIG - Get Report) reports earnings on Thursday and should also benefit from lower input costs, she said. Zale Corp. (ZLC) will report on Wednesday. Borchardt noted that there is an upward bias for the stock, with heavy trading in the call options. -- Written by Bret Kenwell in Petoskey, Mich. Follow @BretKenwell