Retail's hopes are in Hong Kong

The European Union saw its shares closing in red falling to three-month low as Greek Prime Minister

George Papandreou said he will reallocate his cabinet and seek a confidence vote which spurred worries while that Rio Tinto Group led declines in basic-resource shares as metal prices fell.

Retailers were also lower after data showed that U.K. retail sales dropped in May. This figure was worse than the market was expecting and reverses the 1.1 per cent rise in High Street sales in April, which was boosted by the Royal wedding and a string of bank holidays.

Shares of Next PLC dropped 1.6%, whereas Burberry´s titles sank 12p at 1308p. The FashionUnited Top 100 Index was not alien to the negative environment and closed down to 1290, while in France, LVMH fell 1.74% to end Trading at 113.00 €. Quoting Daily Mail, rumors spread around the market that US rival Abercrombie & Fitch is preparing a bid for SuperGroup, which owns fashion chain Superdry, and rose 21p to 839.73p on Thursday.

Far away to the East, in Hong Kong Samsonite shares have tumbled on their debut at the Hong Hong stock exchange on investor concern about the strength of the global economic recovery. Its shares fell by as much as 10% in early morning trade to HK$12.96 from an offer price of HK$14.50.

Recalling other operations that have shaken the market this week, Timberland –reportdly acquired by VF Corporation, expects 2011 revenues of $1.6 billion, over half of which is generated internationally. VF will pay Timberland shareholders $43 per share. The agreement was unanimously approved by both companies' Boards of Directors. The acquisition is expected to close in third quarter of 2011, adding approximately $700 million to VF's 2011 revenues.