PARIS (Reuters) -LVMH's shares slumped on Wednesday, to their lowest level since December, knocking other shares in the fashion sector, after the French luxury giant posted slower third-quarter revenue growth.

LVMH's shares were down by around 6% in early trading, dragging down the share prices of rivals such as (EPA:), Hermes, Swatch, Richemont and Burberry .

LVMH, whose labels include Louis Vuitton, Dior and Tiffany, had reported late on Tuesday a 9% rise in third-quarter revenue, marking slower growth as a strong wave of post-pandemic spending eases due to inflation and economic turbulence.

"LVMH in our view remains ... among the names that should navigate this ongoing volatility relatively better; but with currently negative earnings momentum and uncertain outlook, we see limited scope for absolute re-rating in the short-term," wrote JP Morgan in a research note.

LVMH is facing slowing demand for high end goods in the United States and Europe, where rising prices have prompted shoppers — especially younger generations — to pull back from a post-pandemic spending spree, while the recovery in China has been uneven.

The trend in Europe would impact the wider industry, JP Morgan forecast.

Shares in Gucci-owner Kering fell 3.2% at the market open while Hermes also shed more than 3%.

"An end to the roaring 20s," Berenberg analysts wrote in a briefing note as they cut their target price for LVMH.

"Our lowered forecasts reflect softer H2 momentum and normalised growth in outer years," Berenberg added.

Investors have recently questioned the appetite for shares in the luxury goods sector, in the face of a Chinese slowdown and interest rate uncertainty.

Some $175 billion has been knocked off the value of 10 of Europe's leading luxury good stocks since the end of March, as China's recovery has been rocky and growth is slowing, while high inflation and rising interest rates are forcing U.S. shoppers to tighten their purse strings.