Why General Electric Stock Slumped Today
Shares in General Electric (NYSE: GE) were down by 4.7% in early trading today. There are two factors to focus on. The first is that the move comes on a generally weak day for the market.
The second factor to consider is CEO Larry Culp's recent admission that GE's supply chain remains challenged.
The broader market index got spooked by stronger-than-expected inflation data in August. In a surprise development, the consumer price index rose by 0.1% on a sequential-month basis in August, after being flat in July. On a year-over-year basis the index rose 8.3%. So the market is now pricing in a more aggressive rate hike from the Federal Reserve at its next meeting.
Source Fool.com
