The high-profile engagement of Taylor Swift and American football star Travis Kelsey quickly spilled over into financial markets. Shares of companies like Ralph Lauren and LVMH registered sizable gains after photos were published on social media.

Details

Ralph Lauren gained 0.4% yesterday, August 27, following a 2% rise on Tuesday. Swift appeared in a striped Ralph Lauren dress in the published photos, an item that has since sold out on the company’s website. Kelsey wore an outfit from Paul. “For a company that states it is not only in the clothing business but in the dreams business, we view this outcome as mission success,” Jefferies analyst Ashley Helgans wrote in a note to clients cited by CNBC.

Shares of Richemont and LVMH also advanced yesterday, rising 3.4% and 3.2%, respectively, after Swift was reported to have worn a Cartier watch and Louis Vuitton sandals, Barron's noted. 

Signet Jewelers jumped more than 6% as investors bet Swift’s engagement could could spark a broader wave of proposals. “Engagement ring” Google searches spiked Tuesday as Swift’s roughly eight-carat ring made the rounds online, Barron’s said.

American Eagle surged 8.5% after announcing a collaboration with Tru Kolors, a sportwear brand founded by Kelsey. He will front a campaign built around a limited-edition line of more than 90 pieces, including vintage-inspired T-shirts, varsity jackets, and cashmere sets.

Other companies tried to take advantage of the opportunity of the engagement. Domino’s Pizza and GrubHub sent notifications with Swift lyrics and ring emojis, soda maker Poppi made a themed post on Instagram, and Krispy Kreme gave away free doughnuts. Those marketing efforts may help attract consumer attention, but they will not "move the needle" for sales in the long run, Barron's notes.

Context

Taylor Swift announced her engagement to Kansas City Chiefs star Travis Kelsey on Tuesday, revealing a cushion-cut diamond ring on social media. Events around Swift usually have a big impact on business and even the economy as a whole. Her record-breaking Eras Tour boosted consumer spending to the point that both Wall Street analysts and the Fed took notice. The tour, which ran from mid-2023 through late 2024, was a boon to hotels near concert venues. This was mentioned by the Fed in its July 2023 Beige Book as a driver of the economic recovery.

"Taylor Swift is a force to be reckoned with," Julie Calvert, president and CEO of the tourism group Visit Cincy, told NBC News in a statement at the time. "The economic impact Swift creates is staggering, as fans travel from far and wide to attend her concerts, filling hotels, restaurants, and local attractions." 

The AI translation of this story was reviewed by a human editor.

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