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blue prada wallet house's trademark quilted handbags were tied above the ankle or wrist. Chanel bags are among the most covetable in fashion, but some trend forecasters say the 'It' bag phenomenon is waning as customers seek unique, personal products. "I would say it is at a breaking point right now," said Ed Burstell, general merchandise manager of shoes, accessories and beauty at Manhattan department store Bergdorf Goodman.Luxury brands defy global spending gloomEuropean luxury goods groups are showing that consumer spending gloom has not yet affected buyers of their fashion, handbags, watches and other accessories.France's Hermes, Gucci and Italy's Tod's all published earnings that topped or met market expectations on the back of impressive double digit sales growth in the first half.Their performance was all the more striking coming against a strong euro that should have harmed such major European exporters and amid concerns about rampant inflation and higher raw material costs.But luxury brands continue to benefit from a sustained rise in the number of deep pocketed consumers around the world, particularly in countries such as Brazil, Russia, India and China.According to a Cap Gemini report, world wealth measured by the number of people with assets of at least $1 million US, excluding art and their primary residence rose in 2007 by 9.4 per cent to $40.7 trillion and should continue to rise solidly over the next few years.Meanwhile, well to do western buyers remained faithful to their favourite brands and retained an unflinching appetite for quality and hype.Hermes' latest earnings met expectations with a 14.1 per cent rise in current operating profit, driven by demand for its themed silk scarves and leather goods.Hermes, whose handbags start at 1,200 euros $1,750 US and can fetch 50,000 euros, said there were shortages for certain items such as crocodile skin handbags in places like Asia."We think there is still a lot of growth potential for the Hermes brand, which is not yet widely distributed around the world," Hermes chief executive Patrick Thomas told Reuters in an interview.Hermes, which started as a saddle maker in the 19th century and has retained its equestrian