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BoneKracker
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 Posted: Wed Sep 19, 2012 4:19 am Post subject: Fedex says economy is stalling, cuts outlook |
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Associated Press reports that logistics giant FedEx (who are watched as an indicator of economic and trade health) has warned investors that the economy is stalling again, led by revenue losses in the U.S.
The actual headline was in bold, red capitals in the original article, like this: | Quote: | | FEDEX SAYS ECONOMY IS STALLING, CUTS OUTLOOK |
| Quote: | The conditions are shrinking earnings at the world's second-largest package delivery company. Factories are making fewer items for FedEx to ship and customers are opting for cheaper delivery options to save money.
FedEx on Tuesday cut its outlook for global growth and industrial production while slashing the forecast for company earnings. And CEO Fred Smith suggested trade has slowed to levels seen during the last two significant economic downturns.
It's more evidence that the global economy has a way to go to a full recovery. Several countries in Europe are in recession and the U.S. is struggling with high unemployment and weaker manufacturing growth. And Smith said some experts have underestimated the severity of the slowdown in exports from China, where FedEx has invested heavily over the last several years, adding new planes to export goods and expanding its hubs and network.
FedEx's forecasts are closely watched for signals of future economic health. |
While the AP author is careful to use the word "Global" a half dozen times in the article, presumably wanting to avoid throwing cold water on Obama's re-election chances, the Actual Fedex investors' news release (pdf) shows that the largest revenue drop is actually in the U.S.
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-- Headline of a document on Winston Smith's terminal in his cubicle at the Ministry of Truth, seen briefly in the background in one scene of the movie rendition of Nineteen Eighty-Four. |
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energyman76b
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| Posted: Wed Sep 19, 2012 4:07 pm Post subject: |
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why?
why is Fedex hit at all? I mean - UPS, sure they are everywhere and people actually use them outside of the USA. DHL? You bet! But Fedex?
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| AidanJT wrote: |
Libertardian denial of reality is wholly unimpressive and unconvincing, and simply serves to demonstrate what a bunch of delusional fools they all are.
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zenlunatic
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Joined: 09 Apr 2003
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| Posted: Wed Sep 19, 2012 4:49 pm Post subject: |
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I imagine Amazon is what keeps UPS going. Fedex may just need some new contracts.
What I'm seriously interested in is the survivability of USPS. I asked a retired family postman, and he even said there is something to be worried about there. USPS first class mail is still one of the best true private communications. |
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Koala Kid
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Joined: 09 May 2003
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| Posted: Wed Sep 19, 2012 4:51 pm Post subject: |
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so what email client the are planning to use?
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danomac
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Joined: 06 Nov 2004
Posts: 810
Location: Vancouver, BC
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| Posted: Wed Sep 19, 2012 5:40 pm Post subject: |
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| Koala Kid wrote: | | so what email client the are planning to use? |
++ That was my first thought too. Microsoft software was being cut. Hah!  |
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wildhorse
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Joined: 16 Mar 2006
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| Posted: Wed Sep 19, 2012 7:11 pm Post subject: |
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| BoneKracker wrote: | | logistics giant FedEx |
cough 
Somehow I doubt that FedEx is an indicator for the state of the economy in the USA. In any case, I have no problem whatsoever with this news, if it actually reflects reality. |
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Prenj
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| Posted: Wed Sep 19, 2012 8:14 pm Post subject: |
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| wildhorse wrote: | | BoneKracker wrote: | | logistics giant FedEx |
cough
Somehow I doubt that FedEx is an indicator for the state of the economy in the USA. In any case, I have no problem whatsoever with this news, if it actually reflects reality. |
Three major shipping companies are sure sign of how companies and individuals are moving anything physical between themselves, which translates into pretty good index of economy's health, unlike some other bullshit indexes out there, for example tied to the currency which is printed out of thin air. |
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danomac
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| Posted: Wed Sep 19, 2012 8:16 pm Post subject: |
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| Prenj wrote: | | Three major shipping companies are sure sign of how companies and individuals are moving anything physical between themselves, which translates into pretty good index of economy's health, unlike some other bullshit indexes out there, for example tied to the currency which is printed out of thin air. |
Yep. Makes sense too. If stuff ain't moving, stuff ain't selling. |
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charly
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| Posted: Wed Sep 19, 2012 8:26 pm Post subject: |
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| danomac wrote: | | Prenj wrote: | | Three major shipping companies are sure sign of how companies and individuals are moving anything physical between themselves, which translates into pretty good index of economy's health, unlike some other bullshit indexes out there, for example tied to the currency which is printed out of thin air. |
Yep. Makes sense too. If stuff ain't moving, stuff ain't selling. |
It also cuts out local sales, national freight, international sea freight and rail freight which would account for about 85% of sales. So no, it's a very poor index of an economy's health
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wildhorse
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| Posted: Wed Sep 19, 2012 8:26 pm Post subject: |
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USPS > UPS > FedEx
If all three shipping companies would see a significant change, then I would call that an indicator.
FedEx is currently going through a restructuring programme. That's what is happening. |
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energyman76b
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| Posted: Wed Sep 19, 2012 8:46 pm Post subject: |
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DHL in H1 of 2012 grew by 5.8% compared to H1 2011
DHL Q2 of 2012 grew by 7.3% compared to Q2 of 2011
maybe it is not the economy - maybe FedEx is just losing market share to its competitors.
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| AidanJT wrote: |
Libertardian denial of reality is wholly unimpressive and unconvincing, and simply serves to demonstrate what a bunch of delusional fools they all are.
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Satan's got perfectly toned abs and rocks a c-cup. |
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bbe
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Posts: 158
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| Posted: Wed Sep 19, 2012 9:19 pm Post subject: |
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| The Baltic Dry Index is a useful indicator of global trade of raw materials. |
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flysideways
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pjp
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| Posted: Thu Sep 20, 2012 12:37 am Post subject: |
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I wouldn't voluntarily use UPS.
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Prenj
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| Posted: Thu Sep 20, 2012 12:48 am Post subject: |
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Well, personally, when I was brokering semiconductors, I'd use anything customer has contract with, usually fedex, UPS or DHL (for EU). 99% of customers had contract with either of 3, if they didn't, we'd ship by fedex and charge.
The main reason for chosing FedEx over UPS was the fact that UPS guy would come around warehouse in Montreal at around 1PM, where FedEx would show up at 4:30 PM, so the warehouse staff had time to plan accordingly. Also if you get a call around 9pm and you quote a price, customer would usually call other brokers and ask for better price. Which means that they sit down to write order after lunch, and you get it at around 2PM.
If they are negotiating hard, they would make several calls and try every trick in the book to shave off few percentages, which usually results in orders arriving at 4PM as "last chance" would be given by 3:30 PM.
Wonder how many deals does UPS lose that way, by couple of hours? |
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pjp
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| Posted: Thu Sep 20, 2012 2:16 am Post subject: |
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I preferred the 4 o'clock pickup because it let me get as much as possible on the dock for that day.
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lolgov. 'cause where we're going, you don't have civil liberties.
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Prenj
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| Posted: Thu Sep 20, 2012 2:18 am Post subject: |
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| pjp wrote: | | I preferred the 4 o'clock pickup because it let me get as much as possible on the dock for that day. |
Yeah, it lets you do the sales 7:00 - 15:00 and warehouse staff can pack as orders come in, and you still ship the same day. In some cases "shipping tomorrow" is a deal-breaker when you have to do an "overnight" shipment. |
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BoneKracker
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| Posted: Thu Sep 20, 2012 4:07 pm Post subject: |
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| bbe wrote: | | The Baltic Dry Index is a useful indicator of global trade of raw materials. |
Yeah, and look at it. It's plunging.
According to it, we've been fucked since July.
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Oldthinkers unbellyfeel INGSOC.
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BoneKracker
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| Posted: Thu Sep 20, 2012 4:11 pm Post subject: |
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| wildhorse wrote: | USPS > UPS > FedEx
If all three shipping companies would see a significant change, then I would call that an indicator.
FedEx is currently going through a restructuring programme. That's what is happening. |
No, that would be a composite of indicators.
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Oldthinkers unbellyfeel INGSOC.
-- Headline of a document on Winston Smith's terminal in his cubicle at the Ministry of Truth, seen briefly in the background in one scene of the movie rendition of Nineteen Eighty-Four. |
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wildhorse
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| Posted: Thu Sep 20, 2012 5:29 pm Post subject: |
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| BoneKracker wrote: | | No, that would be a composite of indicators. |
Everybody else realised that your posting made no sense. Maybe you should see Oblabla's doctors. |
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BoneKracker
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Darth Marley
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| Posted: Thu Sep 20, 2012 8:09 pm Post subject: |
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| That link should have a warning attached to it. |
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paradox6996
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| Posted: Thu Sep 20, 2012 8:30 pm Post subject: |
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You know.... Really doesn't take Fedex to see this was apparent. I figure the failed mathematics of Governments was suffice.
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bbe
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| Posted: Thu Sep 20, 2012 8:56 pm Post subject: |
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| BoneKracker wrote: | | bbe wrote: | | The Baltic Dry Index is a useful indicator of global trade of raw materials. |
Yeah, and look at it. It's plunging.
According to it, we've been fucked since July. |
Not just you (the US) I'm afraid. Personally I am worried about what a slow down in China will mean. |
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BoneKracker
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| Posted: Thu Sep 20, 2012 11:53 pm Post subject: |
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| paradox6996 wrote: | | You know.... Really doesn't take Fedex to see this was apparent. I figure the failed mathematics of Governments was suffice. |
Denial ain't just a river in Egypt, baby, and sometimes it takes a pile of evidence to overcome it.
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Oldthinkers unbellyfeel INGSOC.
-- Headline of a document on Winston Smith's terminal in his cubicle at the Ministry of Truth, seen briefly in the background in one scene of the movie rendition of Nineteen Eighty-Four. |
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