Nike (NYSE:NKE) halted the sale of a range of sports shoes in China after its Japanese designer showed support for Hong Kong protests in an Instagram post, according to an article appearing Wednesday in the Financial Times.
The article went on to say the line of limited-edition sports shoes are designed by Undercover, the brand of Japanese designer Jun Takahashi, according to the report. Several Chinese retailers withdrew those shoes from sale without explanation.
Earlier this month, Undercover posted on its Instagram account a photo of protesters with the slogan "no extradition to China," according to the report. That post reportedly attracted backlash from Chinese social media users.
Undercover deleted the post, saying that it was an "individual opinion" that was put up by mistake, the newspaper said.
A proposed law to allow extraditions to mainland China and other jurisdictions triggered large-scale protests in Hong Kong in the last few weeks. Protesters said they’re concerned that Hong Kong is losing its legal independence and inching uncomfortably close to Beijing.
The Hong Kong government has suspended the bill indefinitely, but protests have persisted in the city.
Nike faces less of a competitive threat from Adidas than previously, and the stock will continue to thrive in spite of short-term risks.
Back when Nike was trading at $73.00, some analysts argued that this price marked a good opportunity to "buy the dip".
The stock fell into the $65-70 range before rebounding to a subsequent high of $90.00
Shares gained 45 cents to $83.07
