Walmart Sinks on Cautious Consumer Outlook, Late-October Dip
- Retail giant modestly raises forecast but sees rising pressure
- CFO expects holiday shoppers to wait for promotional offers
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Walmart Inc.’s stock fell the most in more than a year as the retailer struck a concerned tone on the outlook for US shoppers after signs of weakness in the second half of October.
There was a “sharper falloff” in sales during the last two weeks of the fiscal third quarter, which ended Oct. 31, said Chief Financial Officer John David Rainey. While the exact cause is hard to identify, higher interest rates, dwindling savings and student-loan repayments are weighing on demand, he said. November is off to a good start so far, thanks in part to promotions and holiday shopping.