Shares in fashion giant H&M plummet after wet weather caused ‘catastrophe’ of falling sales

Fashion giant H&M’s sales have been hit by the wet weather.

In an update called a “catastrophe” by analysts, the company said sales in June would be 6 percent lower than the same month last year.

It said “unstable weather” in many of its largest markets was deterring shoppers from the High Street.

But the Swedish firm said trading resumed when the sun rose toward the end of the month.

Still, employers have warned that consumer confidence remains fragile, weighing on spending.

“The situation in the world around us remains uncertain and households continue to have high costs of living,” said CEO Daniel Erver, who took over in January.

Shares plunged as much as 13 percent in Stockholm. AJ Bell investment director Russ Mould said: ‘June was a catastrophe.

Fashion retail is a highly competitive market and while H&M is one of the best-known brands on the high street and online, it can never take its foot off the pedal and rely on passing trade.”

It faces stiff competition from budget brand Shein and former rival Inditex, owner of Zara.

Sales between March and May were 3 percent higher than in the same period last year.