Why Shares of XPO Logistics Are Falling Today
Shares of XPO Logistics (NYSE: XPO) opened down more than 10% on Thursday before recovering somewhat as the day went on. The culprit appears to be coronavirus concerns, not any company-specific news, and investors should anticipate continued volatility in the days to come.
XPO has grown to be a key cog in the global shipping industry, and there is ample reason for investor concern that a coronavirus-prompted trade slowdown will eat into current-quarter results. XPO and other shipping stocks have been under pressure in recent days as the outbreak has spread to new regions, leading to investor fears that the disruptions will be more widespread and prolonged than originally believed.
Image source: XPO Logistics.
Source Fool.com
