Drop in S&P500 futures upon reopening - FedEx withdrawing earnings forecast cited

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Drop in S&P500 futures upon reopening - FedEx withdrawing earnings forecast cited

<p>FedEx withdrew its FY23 earnings guidance</p><p>In its reporting of Q1 results, which were not good. </p><ul><li>adj. EPS US$3.44 (expected $5.10) </li><li>revenue US$23.2bn (expected $23.54bn)</li><li>preliminary Q1 Operating. income $1.23bn (vs. $1.74bn that was expected)</li></ul><p>FedEx says that first quarter results were adversely impacted by reduced volumes of shipments globally. The fall intensified in the final weeks of the quarter. Also:</p><ul><li>macroeconomic weakness in Asia</li><li>services weakness in Europe</li></ul><p>The firm cut costs:</p><ul><li>deferral of hiring</li><li>closed more than 90 FedEx locations</li><li>cancelled some planned increases in network capacity</li></ul><p>---</p><p>ps. This would appear to pour cold water on speculation fo a 100bp rate hike from Federal Open Market Committee (FOMC) next week (September 20 & 21 meeting). Totally drown it IMO. </p>

                This article was written by Eamonn Sheridan at forexlive.com.

Source: Drop in S&P500 futures upon reopening - FedEx withdrawing earnings forecast cited

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