A gauge of top European luxury goods stocks fell as much as 20.05% from its record peak in May today.
The drop would confirm the index is technically in bear-market territory.
The STOXX Europe Luxury 10 index tracks 10 luxury companies including heavyweights LVMH and Kering in Paris and Zurich-listed Richemont.
The index was down around 1.6% on the day, having earlier fallen 2.2% to levels last seen at the start of the year.
Investors in the sector are growing concerned about the outlook for the sector due to a disappointing post-pandemic recovery in China and faltering sales in the US.
