Markets turned noticeably lower in the last couple of hours of trading on Wednesday. The S&P 500 ended the day down 1.5% while Toronto was down 1.15%.
FedEx got hammered down 12% today in reaction to its earnings release yesterday afternoon. I had FedEx on the list here quite some years ago and it turned out to be a strangely volatile stock. It’s obviously sensitive to the economy and to fuel prices but it has also made operational mistakes over the years and struggled with a huge acquisition years ago. I have no opinion on it now.
Costco finally had a bad day, down 2.5%.
Starbucks was down 3.1% to $94. I like it at that price.
Canadian Tire was down 2.7% and may continue to be weighed down by a sentiment that people are cutting back on non-essentials due to inflation. I like the stock for the long-term.
Shopify was down 3.5%.
This kind of pull-back was to be expected after all the recent gains.
On another note I saw on CBC last night that Airdrie Alberta is one of the fastest growing communities in Canada. Melcor has I think two communities there with new lots available in Q4. They should have a decent Q4. Also Alberta gained 44,000 new people in Q3. That should be good for Melcor and perhaps more immediately good for a company like Boardwalk Equities and I think Mainstreet equities as apartment rents are rising.
After the close, Linamar announced that it is making a $640 million acquisition in the agricultural sector.