5 things to be aware in front of Friday’s financial exchange opening
1. Friday’s financial exchange opening | Stock futures fall
Friday’s financial exchange opening | With U.S. stock futures down on Friday, Wall Street was on track for another another losing week. Traders were taking in an unpleasant earnings warning from FedEx, which dropped its full-year forecast and revealed decreasing global cargo volumes for its most recent quarter. U.S. stocks experienced their worst day since 2020 earlier in the week when the consumer price index report for August revealed that headline inflation increased 0.1% on a monthly basis despite a decline in gas costs.
That suggested a more challenging route for the Federal Reserve to reduce inflation. Consumer sentiment data will be released to traders on Friday at 10 a.m. ET, but the three major averages were on track to post their fourth loss week in five.
2. More on FedEx | Friday’s financial exchange opening
After FedEx announced strong cost-cutting measures after deteriorating global delivery volumes pulled down results for the most recent quarter, the company’s shares fell late Thursday. According to FedEx, it had been expected that demand would rise as companies in China resumed operations following the relaxation of Covid pandemic restrictions.
It claimed that demand decreased globally. In an interview with Jim Cramer on CNBC’s “Mad Money,” CEO Raj Subramanian said that the volume loss was significant and that the company has had weekly reductions ever since its investor day in June. He claimed that was a sign of a struggling economy. According to Subramanian, “We are a reflection of everyone else’s business, particularly the high-value economy in the world.”
3. Regulating crypto
A long-awaited framework for U.S. cryptocurrency regulation has been made public by the White House. Washington has provided guidance on how the financial services sector should develop to facilitate borderless transactions and how to combat fraud in the digital asset market.
The framework comes after President Joe Biden called on federal agencies to investigate the advantages and disadvantages of cryptocurrencies and publish public reports on their findings in an executive order released in March. The White House’s new framework for crypto regulation includes a section on combating criminal behavior in the sector, and the suggested restrictions seem to have some actual bite.
4. Bed Bath & Beyond closures
Many customers questioned whether the Bed Bath & Beyond store close to them would be among the 150 stores that will be closed when the company revealed last month that it would eliminate some of its “lowest generating” namesake stores.
With a list of 56 locations spread out over the United States, the ailing home goods business has already begun identifying the stores targeted for closure. The closures are a part of a larger strategy to attempt to balance the business’s finances and reverse its dropping revenues. In addition to closing the stores, Bed Bath said in late August that it had received more than $500 million in new financing for the crucial holiday shopping season. Go to CNBC’s Gabriel’s map to see which stores it is closing.
5. Yeezy and Gap part ways
The agreement between Kanye West (also known as Ye) and Gap Inc. is coming to an end. The collaboration garnered media attention when it was originally revealed in 2020, and the first item in the Yeezy Gap range, a vivid blue puffer jacket, sold out in a matter of hours after being on sale a year later.
However, Yeezy later complained to Gap that the company had broken its contract by failing to open specific Yeezy Gap locations in a letter submitted by his attorneys on Thursday. In a memo to staff members later that day, Gap CEO Mark Breitbard confirmed the split, stating that while the two sides had a similar goal for Yeezy Gap, their approaches to achieving that objective “are not aligned.