Major retailer Target warned of rising cost pressures in its business right after Walmart, triggering the sell-off.
Other retailers took a hit on the back of Target's quarterly earnings miss — with the SPDR S&P Retail ETF falling 8.3%. Amazon's stock price dropped 7.2%, and Best Buy's stock price fell 10.5%. Dollar General's fell 11.1%, and Dollar Tree's declined 14.4%. Shares of Macy's dropped 10.7%, while shares of Kohl's fell 11%.as shoppers bought fewer supplies for outdoor projects.
"Any company that relies on households and discretionary purchases will likely suffer this quarter because a lot of discretionary income has been funneled to food and energy prices," said Jack Ablin, founding partner of Cresset Capital. Stocks and other risk assets have been pressured by inflation and the Federal Reserve's attempt to tamp down price increases through rate hikes, which have led to concerns about a potential recession.current downturn is worse than the tech bubble of 2000"The other day, we were down about 19.9% on the S&P 500 and about 27% on the Nasdaq. I would say at a minimum, we are likely to do twice that," Grantham said.
The yield on the benchmark 10-year Treasury note dipped below 2.9% after briefly topping 3% on Wednesday morning as investors huddled back into bonds as a safe haven. The Dow has declined for seven straight weeks, but stocks had stabilized over the previous three trading sessions. Last week, the S&P 500 fell to the brink of a bear market — or 20% below its record high.Also on CNBC
Norge Siste Nytt, Norge Overskrifter
Similar News:Du kan også lese nyheter som ligner på denne som vi har samlet inn fra andre nyhetskilder.
Stocks Making the Biggest Moves Premarket: Target, Walmart, Carrier Global and OthersThese are the stocks posting the largest moves before the bell.
Les mer »
Unlike Walmart and Target, these stocks tend to do well when inflation is highWhen rising costs crimp corporate profits and curb consumer demand, some stocks have a record of performing well during periods of rapid inflation.
Les mer »
Dow Falls 800 Points, Stock Market Selloff Continues As Major Retailers Warn Of Rising Cost PressuresStocks tanked as investors worried about inflation’s impact on consumer spending.
Les mer »
AUD/USD Price Analysis: Bulls rest up at 50% mean reversion targetAs per the prior analysis, AUD/USD Price Analysis: Bulls are taking charge at critical daily resistance, the bulls have moved in to the target area on
Les mer »
The Best Desks at Target For Small and Large SpacesGreat for small and large spaces.
Les mer »