Why Ford Stock Dropped Today
Shares of Ford (NYSE: F) stumbled today as investors processed comments made by Philadelphia Federal Reserve President Patrick Harker that the Fed is nowhere near done hiking interest rates.
Ford investors are worried that continued aggressive increases in interest rates will slow the economy too much and end up hurting vehicle sales. As a result, the auto stock was down by 2.5% by the end of trading on Thursday.
Ford's share price wasn't moving all that much earlier in the day, but it began tumbling once Harker's comments were published. The Fed official said in a speech today, "We are going to keep raising rates for a while" because of the "disappointing lack of progress on curtailing inflation ..."
Source Fool.com
