Why Shares of XPO Logistics Are Falling Today
Shares of XPO Logistics (NYSE: XPO) were trading 13.8% lower as of 2:53 p.m. EDT Monday and are now down 44% in the past month. Before markets opened Monday morning, there were fresh warning signs the U.S. economy could be spiraling into a recession, and that has investors fleeing transport and shipping stocks.
XPO runs a global logistics and shipping operation and has been hit hard by the spread of the COVID-19 outbreak and its affects on global economic activity. While a near-term impact on results seems certain, there was at least some reason to hope that if the outbreak can be quickly contained, or if the government acts swiftly on stimulus, a full-fledged U.S. recession could be avoided.
Image source: XPO Logistics.
Source Fool.com
