Stock Market Today: FedEx Warning Amplifies Wall Street Jitters
The delivery giant said its fiscal Q1 results will come in lower than expected and withdrew its full-year guidance as demand slows.


Stocks capped off a terrible week with another slide as a warning from one of Wall Street's bellwether firm's stoked concern about the U.S. economy.
After Thursday's close, delivery giant FedEx (FDX, -21.4%) – whose financial results are often seen as a read on broader economic conditions – issued preliminary fiscal first-quarter earnings and revenue figures that were well below estimates. The company cited a recent acceleration in "global volume softness," and specifically pointed to "macroeconomic weakness in Asia and service challenges in Europe." FDX also withdrew its outlook for the full fiscal year, and said it is initiating several cost-cutting measures to offset the effects of lowered demand, including deferring staff hiring, closing 90 FedEx office locations and ending Sunday operations for several FedEx Ground locations. The company is slated on the earnings calendar to report its full quarterly results after next Thursday's close.
Wall Street's nerves were already frayed ahead of FedEx's financial warning, as this week's red-hot inflation reading all but assured another large rate hike from the Federal Reserve at next week's meeting. But an additional contributing factor to this week's massive volatility is likely today's quadruple-witching options expiration, which is when index futures, index options, stock options and individual-stock futures all expire at once. This happens four times a year – on the third Friday in March, June, September and December – and sometimes leads to heavy volume and erratic moves in parts or all of the market.

Sign up for Kiplinger’s Free E-Newsletters
Profit and prosper with the best of expert advice on investing, taxes, retirement, personal finance and more - straight to your e-mail.
Profit and prosper with the best of expert advice - straight to your e-mail.
At the close, the Nasdaq Composite was down 0.9% at 11,448, the S&P 500 Index was off 0.7% at 3,873, and the Dow Jones Industrial Average was 0.5% lower at 30,822. All three indexes suffered significant weekly losses.
Other news in the stock market today:
- The small-cap Russell 2000 fell 1.5% to 1,798.
- U.S. crude futures eked out a modest gain to end at $85.11 per barrel.
- Gold futures rose 0.4% to finish at $1,683.50 an ounce.
- Bitcoin slipped 0.9% to $19,629.81. (Bitcoin trades 24 hours a day; prices reported here are as of 4 p.m.)
- International Paper (IP, -11.2%) and Packaging Corporation of America (PKG, -11.0%) plunged after Jefferies analyst Philip Ng downgraded the packaging stocks to Underperform, the equivalent of Sell. The downgrade reflects "the massive inventory glut in containerboard, with our checks indicating orders decelerating sharply & broad based downtime taken even by the smaller players," Ng writes in a note. "Our contacts believe a fourth-quarter price cut is imminent, and considering the 5%-6% of new capacity slated to come online the next 12 months have yet to impact the mkt, conditions could worsen in 2023."
- Growth stocks were some of the biggest decliners today, with Meta Platforms (META, -2.2%), Twilio (TWLO, -4.8%) and Snowflake (SNOW, -6.1%) seeing big declines.
Why Low-Volatility Funds Could Be a Good Strategy
Don't be discouraged. Yes, it's a difficult time for the stock market – and there's likely more volatility to come. But investing is a marathon, not a sprint, and there are ways to ride out the storm. Most recently, we've mentioned the use of quality income-paying stocks, like the Dividend Kings or Dividend Aristocrats, all of which have decades of consistent dividend growth under their belts.
But given this week's panic-selling, it seems like an opportune time to revisit low-volatility strategies. "Minimum volatility is a defensive bet," says Huw Roberts, head of analytics at data research firm Quant Insight. "The whole aim is to keep people invested in the market, but targets stocks that aren't as volatile or don't always behave in the same way as the overall index (say the S&P 500)." Huw adds that for those "worried about inflation, Fed rate hikes etc.," taking this route might be a good strategy. Here, we've compiled 10 low-volatility funds that could give investors peace of mind over the long run. Check them out.
Get Kiplinger Today newsletter — free
Profit and prosper with the best of Kiplinger's advice on investing, taxes, retirement, personal finance and much more. Delivered daily. Enter your email in the box and click Sign Me Up.
With over a decade of experience writing about the stock market, Karee Venema is the senior investing editor at Kiplinger.com. She joined the publication in April 2021 after 10 years of working as an investing writer and columnist at a local investment research firm. In her previous role, Karee focused primarily on options trading, as well as technical, fundamental and sentiment analysis.
-
Are You a Retirement Millionaire Too Scared To Spend?
If you are too scared to spend money in retirement, you may be saddled with regret. Here are three ways to safely enjoy your sizable retirement nest egg.
By Donna Fuscaldo Published
-
U.S. Treasury to Eliminate Paper Checks: What It Means for Tax Refunds, Social Security
Treasury President Trump signed an executive order forcing the federal government to phase out paper check disbursements by the fall.
By Gabriella Cruz-Martínez Published
-
Stock Market Today: Dow Sinks 715 Points as Inflation Unrest Grows
Inflation worries are showing up in both hard and soft data.
By Karee Venema Published
-
Stock Market Today: It's Going to Stay Choppy for Stocks
Auto-focus can show us a lot about uncertainty on the ground and in the stock market.
By David Dittman Published
-
Stock Market Today: Auto Tariffs Send Stocks Lower
The main indexes snapped their win streaks after the White House confirmed President Trump will talk about auto tariffs after the close.
By Karee Venema Published
-
Stock Market Today: Stocks Seesaw After Big Market Rally
The latest consumer confidence data showed sentiment remains low.
By Karee Venema Published
-
Stock Market Today: Markets Celebrate Trump's Tariff Détente
Consumer discretionary stocks led 10 of the 11 S&P 500 sector groups well into the green.
By David Dittman Published
-
Stock Market Today: Stocks Swing Higher After Early Slump
Negative earnings reactions for Nike, FedEx and Micron kept pressure on the main indexes, though.
By Karee Venema Published
-
Stock Market Today: Stocks Struggle After Big Fed Gains
An unexpected rise in existing home sales couldn't save stocks on Thursday.
By Karee Venema Published
-
Stock Market Today: Stocks Enjoy a Fed Day Relief Rally
The question now is whether Jerome Powell and other policymakers can get the balance right given all the new noise.
By David Dittman Published