Why American Express Stock Dropped Today
Shares of American Express (NYSE: AXP) fell as much as 4.2% Tuesday afternoon, then partially recovered to trade down 1.6% as of 3 p.m. ET after the company's CEO revealed spending trends softened at the start of the fourth quarter.
Speaking at the Goldman Sachs 2023 Financial Services Conference earlier today, American Express CEO Stephen Squeri noted that after achieving 8% billings growth in the second quarter and 7% in Q3, "in October, everybody got a little bit skittish, and I think other people have said the same thing -- that growth wasn't as strong in October [...] like it was in the third quarter."
"There's a lot going on in October," Squeri elaborated, noting consumers appeared to pull back on travel and entertainment spending at the start of the fourth quarter.
Source Fool.com
