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Trump stunned as stocks fall on great jobs report. Barclays explains why ‘we are entering the warning zone FortuneTrump says Fed chair should ‘do whatever he wants' but criticizes possible interest rate hikes NBC NewsDonald Trump piles pressure on Kevin Warsh with call for rate cut Financial Times'No reason' to raise interest rates after jobs report, Trump says USA TodayTrump Says Fed Ra
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US Stock Futures Drop After Tech Selloff, Oil Up: Markets Wrap Bloomberg.comNasdaq falls 4% and suffers worst day since April 2025 as traders flee chip stocks: Live updates CNBCNasdaq, S&P 500 suffer worst day of year as AI stocks tumble and Fed rate-hike odds rise CNNCarnage in Chip Stocks Hits Extra Hard in Top-Heavy Market WSJ
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Stock futures fall after Nasdaq rout as investors look ahead to SpaceX IPO: Live updates CNBCUS Stock Futures Drop After Tech Selloff, Oil Up: Markets Wrap Bloomberg.comNasdaq, S&P 500 suffer worst day of year as AI stocks tumble and Fed rate-hike odds rise CNNThe S&P 500 Wiped Out $1.4 Trillion in Market Cap After Red-Hot Jobs Report. Here's Why Yahoo FinanceThe Jobs Report Hit Solar and AI Stocks. Here's Who Can Handle Higher Interest Rates. Barron's
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Donald Trump piles pressure on Kevin Warsh with call for rate cut Financial TimesTrump stunned as stocks fall on great jobs report. Barclays explains why ‘we are entering the warning zone Fortune'No reason' to raise interest rates after jobs report, Trump says USA TodayTrump Says Fed Rate Increase Would Be Wrong Ahead of Warsh Debut Bloomberg.comTrump Applauds ‘Grea
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Rate hikes now will choke off the critical investments needed to lower prices.
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Investors have plenty of worries - chief among them inflation and a potential recession. But the engine that ultimately drives the stock market is corporate profits. As long as earnings growth stays on track, then corporate America—and by extension, your stock portfolio—remains on solid ground.
Which is why the recent earnings preview from FedEx (FDX) was so unnerving. While the official report for the quarter ended August 31 comes out Thursday, FedEx warned on September 15 that it would have bad news, with quarterly results severely impacted deteriorating economic trends in Asia, Europe and the U.S. FedEx stock was immediately penalized, and is down more than 20% since this pre-announcement.
The key question for every investor is whether the shipping giant is suffering from a company-specific malaise or whether FedEx's problems are a broad-market bellwether portending widespread doom. "FedEx is no ordinary economic actor, as its business literally touches every corner of the global economy" says Sheraz Mian, director of research for Zacks, an investment research firm.
A Downgrade for FDX
Analyst Colin Scarola, at investment research firm CFRA, suspects that part of the problem at FedEx is that it failed to adjust operations in its Express division (50% of revenues) as more international passenger flights, which transport some air freight as well, came back online after the pandemic-related slowdown, raising competition. "We don't doubt that some of the poor performance is related to ongoing global economic headwinds and high inflation worldwide. But the extent of the decline at Express leads us to believe that poor operational execution is also at play," says Scarola, who has
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