Walmart Profits Fall In Joe’s Great Economy

While WH insists economy is great before Fed raises interest rates another 75 base pts cause it ain’t, we learn Walmart is latest giant to cut its profit outlook. Case of the bigger they are the harder WE are going to fall?

Dunno. One major company after another, esp in the banking industry, is warning about lowered prospective profits, now Walmart, the nation’s largest retailer. Explains the WSJ this time: “Retailer said higher food and fuel prices are denting consumer spending, requiring more markdowns on apparel, other inventory … an ominous sign for the US economy that has relied on resilient household spending power through rising inflation.” The bad news sent Walmart’s shares down a whopping 10% Monday & “pressured other stocks, with Amazon falling about 4%.”

Mind you, the Walmart “warning casts a cloud over a week when a raft of global brands & multinational companies, from McDonald’s & Procter & Gamble to Visa and GM are slated to [also] update investors on their latest quarterly results and the outlook for the rest of the year.” [As it happens: GM just announced its profits tumbled 40% in 2d Quarter & Mc Donald's global revenue slipped 3%, saved only by higher menu prices in US.] Also yet to be factored is the DOL’s announcement on Friday that’s expected to show the over all economy retracting again in the second quarter, which means a RECESSION will have "officially" started, regardless of how the WH tries to "redefine" or spin it as a "good" thing.

Davd Soul