Is Walmart a barometer for the health of the U.S. economy?

by

FILE - A woman wheels a cart with her purchases out of a Walmart, on Nov. 18, 2020, in Derry, N.H. On Monday, July 25, 2022, Walmart Inc., lowered its profit outlook for the second quarter and the full year, citing surging inflation on basics like food that is forcing shoppers to cut back on discretionary items, particularly clothing, that carry higher profit margins. (AP Photo/Charles Krupa, File)
Share on facebook
Share on twitter
Share on linkedin
Share on pinterest
Share on email
Reading Time: < 1 minute

Is Walmart a barometer for the health of the U.S. economy? The company’s CEO recently said that the increasing levels of food and fuel inflation are affecting how customers spend and they’re actually looking to roll out more markdowns. The company expects a slow down in consumer spending for general merchandise in the second half of this year.

As you may remember, lots of companies have begun to make changes in anticipation of a major economic slowdown, possibly recession, at the end of this year. And possibly also at the beginning of next year. Walmart also cut its profit outlook for the second quarter and the rest of this year. Walmart’s rivals are more than likely watching closely and we could see other retailers drop prices as well as a response to inflation and a tanking economy.

Click ▶️ to listen to the report from AURN’s Jamie Jackson:

AURN Facebook Feed

advanced divider
advanced divider
Advertisement

NEWS