Tag

Economic Headwinds

All articles tagged with #economic headwinds

business2 years ago•1 min saved

Etsy's Workforce Shrinks by 11% Amidst Sales Slump

Etsy is laying off 225 employees, about 11% of its workforce, in an effort to cut costs due to "essentially flat" sales over the past two years. The CEO cited challenging economic conditions and growing employee expenses as reasons for the decision. The layoffs come at an unfortunate time during the holiday season, but affected employees will remain on the payroll until at least January 2nd. The company will incur costs of $25-30 million for severance payments and related expenses.

via The Guardian|

#business #cost-cutting #economic-headwinds

business2 years ago•2 min saved

Record-breaking holiday sales expected despite economic challenges

Despite facing economic challenges such as inflation, high borrowing costs, and the resumption of student loan repayments, shoppers are projected to spend a record amount of money during the holiday season, according to the National Retail Federation (NRF). The NRF forecasts a 3% to 4% year-over-year increase in sales, amounting to approximately $957.3 billion to $966.6 billion. While this growth rate is slower than the average of the past decade, it aligns with pre-pandemic levels. However, economists anticipate consumers becoming more cautious due to rising interest rates and the resumption of student loan payments, potentially impacting consumer behavior during the holiday season.

via Fox Business|

#business #consumer-spending #economic-headwinds

finance2 years ago•2 min saved

Caterpillar's Falling Backlog Raises Concerns over Demand

Caterpillar Inc.'s stock fell to its lowest price since June as the company reported a shrinking order backlog in the third quarter, indicating a slowdown in demand for its machinery. Despite beating analyst estimates with higher prices and strong sales, the $1.9 billion year-on-year decline in backlog raises concerns about economic headwinds impacting the company's sales growth. Dealer inventories continued to grow while orders declined 15% YoY, pointing to a potential slowdown in sales and earnings growth for the fourth quarter. Caterpillar's shares dropped 5.5% following the news.

via Yahoo Finance|

#backlog #caterpillar-inc #demand

economy2 years ago•4 min saved

Surprising Job Growth in September Raises Economic Questions

The US jobs market continues to defy expectations as employers added 336,000 jobs in September, with unemployment remaining at 3.8 percent. Additionally, there were upward revisions to job creation in July and August. However, the economy shows signs of divergence, with some sectors and states experiencing growth while others struggle. Persistent inflation, high interest rates, and strikes contribute to the two-faced nature of the economy. Economic inequality is also a concern, with the wealthiest becoming richer while poverty rates increase and real wages fall for others. Overall, the jobs report is positive, but questions remain about the overall health of the economy.

via PBS NewsHour|

#divergent-paths #economic-headwinds #economic-inequality

technology2 years ago•2 min saved

Big Tech's $11T Market Value: Triple Germany's GDP and No Cause for Concern

The combined market value of the "Magnificent 7" mega-cap tech stocks, including Apple, Microsoft, Google parent Alphabet, Amazon, Meta Platforms, Nvidia, and Tesla, has surged 60% this year to reach $11 trillion, nearly triple the GDP of Germany. This rally has been fueled by the hype over artificial intelligence. However, skeptics warn that economic headwinds could cause the rally to fade soon.

via Markets Insider|

#ai-boom #big-tech #economic-headwinds

finance2 years ago•1 min saved

Russian Ruble Plunges to 15-Month Low After Failed Mutiny

The Russian ruble has weakened further against the US dollar, falling to around 91 per dollar and surpassing its optimal value range, following the failed mutiny attempt by Wagner mercenaries. The ruble has been one of the worst-performing currencies in 2023, declining 21% since January due to sanctions and economic challenges resulting from Russia's invasion of Ukraine. Retail deposits held in other currencies have increased, and the Kremlin has turned to China's yuan to compensate for falling energy revenues.

via Yahoo Finance|

#currency #economic-headwinds #finance

finance2 years ago•4 min saved

Investors Face Worrying Signs as Global Stocks Slip.

Stocks and US Treasuries fell as the second-quarter rally met resistance from economic headwinds and signs that positioning is overbought. The chemical industry led declines in Europe after Lanxess AG slumped as much as 15% on a profit warning, dragging shares of peers including BASF SE lower. Investors caught between fear of missing out and concerns markets have run too far, too fast are contending with overblown valuations and economic headwinds. The path of US monetary policy is another wild card. Federal Reserve Chair Jerome Powell will give his semi-annual report to Congress on Wednesday.

via Yahoo Finance|

#central-banks #economic-headwinds #federal-reserve

finance2 years ago•7 min saved

JPMorgan's Challenges and Succession Plans Impact Investors.

JPMorgan outlined its growth and spending plans at its 2023 Investor Day on Monday, highlighting challenges such as tech spending, economic headwinds, and cyber attacks. Despite these challenges, the bank continues to spend big, especially on tech, and sees opportunities in its recent acquisition of First Republic Bank. CEO Jamie Dimon also discussed his management style and succession plan during the event.

via Business Insider|

#economic-headwinds #finance #first-republic-bank

business2 years ago•1 min saved

Paramount's Layoffs Lead to MTV News Shutdown and Staff Cuts

Paramount Global, the parent company of Showtime and MTV Entertainment Studios, is cutting 25% of staff and shutting down units like MTV News due to economic headwinds. The division will be split into two functions, "studios" and "networks," which will merge nine separate teams into one portfolio. Despite recent successes like "Yellowstone," the company shared dismal quarterly earnings, including an 11% dip in TV ad revenue. Other media companies like Warner Bros. Discovery and Disney have also announced layoffs due to economic challenges.

via New York Daily News|

#business #economic-headwinds #layoffs

business2 years ago•3 min saved

MTV News shuts down after 36 years amidst Paramount layoffs.

One-quarter of the US staff at Chris McCarthy's Showtime/MTV Entertainment Studios/Paramount Media Networks Group has been laid off, with the majority of the layoffs coming at the networks end due to prior consolidation. MTV News will be one of the casualties. The decision was made due to economic headwinds, including a struggling advertising market and dwindling linear-television subscribers. The greater Paramount Global company has already recognized about $1.7 billion in costs from combining Paramount+ and Showtime.

via IndieWire|

#business #economic-headwinds #layoffs

business2 years ago•3 min saved

Paramount Media Networks Lay Off 25% of Staff, MTV News Shut Down

Paramount Global, under the leadership of Chris McCarthy, is laying off 25% of its domestic team as part of a consolidation effort that integrates Showtime into its cable and streaming purview. The majority of the cuts are being felt by the networks group, with certain units, including MTV News, being shut down altogether. The move comes amid broader economic headwinds and follows the integration of Showtime into two functions: studios and networks. McCarthy has been reimagining the Showtime brand, increasingly focused on three buckets of programming: diverse cultures, anti-heroes, and high-stakes worlds.

via Hollywood Reporter|

#business #economic-headwinds #layoffs

business2 years ago•1 min saved

Dropbox to Lay Off 500 Employees and Focus on AI

Dropbox is cutting 500 employees, or about 16% of its workforce, due to slowing growth and the need to focus more on artificial intelligence-powered products. Impacted employees will receive free job placement services and career coaching, along with up to 16 weeks of severance pay and one additional week per year of Dropbox tenure. The layoffs are part of a broader company consolidation, as Dropbox merges its Core and Document Workflows businesses and some other internal team restructuring.

via CNBC|

#artificial-intelligence #business #dropbox