updated 09/11/2012 AT 1:00 PM ET
•originally published 09/11/2012 AT 2:40 PM ET
“They were just being so cute, holding hands, shopping and waving at people who were saying congratulations. [Lively] was so cute! She was smiling the whole time,” an observer, Erin Ponton, tells PEOPLE.
Dressed casually – Reynolds wore a blue pinstriped shirt and khakis and Lively had on in a knee-length white dress – the couple strolled along King Street.
“[They went] into a Louis Vuitton store, not paying too much attention to anyone in the world but [each other],” Ponton adds.
– Sara Hammel
— People magazine (@peoplemag) August 7, 2012