Finance

WHEN IT COMES to tracing the geography of global supply chains, few companies provide a better map than Foxconn, the world’s largest contract manufacturer. This year the Taiwanese giant has built or expanded factories in India, Mexico, Thailand and Vietnam. The Chinese production sites once beloved by Western companies are firmly out of fashion. Souring relations between the governments in Washington and Beijing have made businesses increasingly fretful about geopolitical risks. As a consequence, in the first half of the year, Mexico and Canada traded more with America than China for the first time in almost two decades. The map of global trade is being redrawn.At first glance, this is almost exactly what is desired by America’s policymakers. Under first Donald Trump and then Joe Biden, officials have put in place an astonishing array of tariffs, rules and subsidies—an executive order introducing outbound investment screening, the latest sally, is expected soon. The aim is to weaken China’s grip on sensitive industries and, in a motivation that mostly goes unspoken, prepare for a possible invasion of Taiwan. This attempt to “de-risk” trade with China is the cornerstone of the White House’s foreign policy. Yet despite extensive efforts, and the reshaping of trade seemingly evident in headline statistics, much of the apparent de-risking is not what it appears.Instead of being slashed, trade links between America and China are enduring—just in more tangled forms. The American government’s preferred trading partners include countries such as India, Mexico, Taiwan and Vietnam, in which it hopes to spur the “friendshoring” of production to replace imports that previously would have come from China. And trade with these allies is rising fast: just 51% American imports from “low-cost” Asian countries came from China last year, down from 66% when the Trump administration’s first tariffs were introduced five years ago, according to Kearney, a consultancy. The problem is that trade between America’s allies and China is also rising, suggesting that they are often acting as packaging hubs for what, in effect, remain Chinese goods. This flow of products means that, although America may not be buying as much directly from China as before, the two countries’ economies still rely on each other.For evidence, look at the countries that benefit from reduced direct Chinese trade with America. Research by Caroline Freund of the University of California, San Diego and co-authors investigates this dynamic. It finds that countries which had the strongest trade relationships with China in a given industry have been the greatest beneficiaries of the redirection of trade, suggesting that deep Chinese supply chains still matter enormously to America. This is even truer in categories that include the advanced-manufacturing products where American officials are keenest to limit China’s presence. When it comes to these goods, China’s share of American imports declined by 14 percentage points between 2017 and 2022, whereas those from Taiwan and Vietnam—countries that import heavily from China—gained the greatest market share. In short, Chinese activity is still vital to the production of even the most sensitive products.Exactly how the re-routing works in practice differs across countries and industries. A few products can be sourced only in China. These include some processed rare earths and metals where Chinese companies dominate entire industries, such as the gallium used in chip production and the lithium processed for electric-vehicle batteries. Sometimes exports to America and the rest of the West from their allies are nothing more than Chinese products that have been repackaged to avoid tariffs. Most often, though, inputs are simply mechanical or electrical parts that could be found elsewhere at greater cost by an assiduous importer, but are cheaper and more plentiful in China. Pass the parcelAll three types of phony decoupling can be found in China’s backyard. The latest official data, published in 2018, concerning exports by the Association of Southeast Asian Nations (ASEAN), a regional club, show that 7% by value were actually attributable to some form of production in China—a figure that is probably an underestimate given how difficult it is to disentangle trade. Fresher data suggest that China has only grown in importance since then. The country has increased its share of exports to the bloc in 69 of 97 product categories monitored by ASEAN. Electronic exports, the largest category, which covers everything from batteries and industrial furnaces to hair clippers, have exploded. In the first six months of the year Chinese sales of these goods in Indonesia, Malaysia, Thailand, the Philippines and Vietnam rose to $49bn, up by 80% compared with five years ago. There is a similar pattern in foreign direct investment, where Chinese spending in crucial South-East Asian countries has overtaken America’s.Factories farther afield are also humming with Chinese activity, perhaps most notably in the car industry. In Mexico the National Association of Autopart Makers, a lobby group, has reported that last year 40% of nearshoring investment came from sites moving to the country from China. A rich supply of intermediate goods is duly following. In the past year Chinese companies exported $300m a month in parts to Mexico, more than twice the amount they managed five years ago. In central and eastern Europe, where the car industry has boomed in recent years, phony decoupling is even more conspicuous. In 2018 China provided just 3% of automotive parts brought into the Czech Republic, Hungary, Poland, Slovakia, Slovenia and Romania. Since then, Chinese imports have surged, thanks to the rapid adoption of electric vehicles, of which the country increasingly dominates production. China now provides 10% of all car parts imported into central and eastern Europe, more than any other country outside the eu.Tighter trade links between America’s allies and China are the paradoxical result of America’s desire for weaker ones. Companies panicked by worsening relations across the Pacific are pursuing “China plus one” strategies, keeping some production in the world’s second-largest economy, while moving the rest to countries, such as Vietnam, that are friendlier to Uncle Sam. Yet American demand for final products from allies also tends to boost demand for Chinese intermediate inputs, and produces incentives for Chinese firms to operate and export from alternative locations. Although Apple, the world’s largest company by market capitalisation, has moved production outside China in recent years, this comes with a caveat: much of the production still relies on Chinese companies. The tech giant lists 25 producers in Vietnam on its official suppliers list. Nine are from mainland China.How concerning should this state of affairs be to American policymakers? In the worst case—a war in which supplies of goods between China and America are almost completely severed—dealing only indirectly with China or with Chinese firms on the soil of third countries is probably an improvement on Chinese production. Moreover, companies are adapting to security rules so as to reduce costs for consumers. But that carries its own risks: a belief that decoupling is under way may obscure just how critical Chinese production remains to American supply chains.The fact that so much production in Asia, Mexico and parts of Europe ultimately relies on imports and investment from China helps explain why so many governments, particularly in Asia, are at best fair-weather friends to America, at least when it comes to shifting supply chains. After all, if forced to choose sides once and for all, exporters would suffer mightily. A recent study by researchers at the IMF models a scenario in which countries must pick between America and China, with their decision on which of the two superpowers to side with decided by recent voting patterns at the UN. Such a scenario, the researchers calculate, would reduce GDP by as much as 4.7% for the worst-affected countries. Those in South-East Asia would be struck particularly hard.FrenemiesGiven that most countries are desperate for the investment and employment that trade brings, America has been unable to convince its allies to reduce China’s role in their supply chains. Many are content to play both sides—receiving Chinese investment and intermediate goods, and exporting finished products to America and the rest of the West. Ironically, then, the process driving America and China apart in trade and investment may actually be forging stronger financial and commercial connections between China and America’s allies. Needless to say, that is not what President Biden had in mind. ■ More

U.S. regulators on Tuesday announced a combined $549 million in penalties against Wall Street firms that failed to maintain electronic records of employee communications.
The Securities and Exchange Commission announced charges and $289 million in fines against 11 firms for “widespread and longstanding failures” to maintain records, including by allowing employees to use unsupervised side channels such as messaging apps WhatsApp and Signal, the regulator said.
The Commodity Futures Trading Commission also said it fined four banks a total of $260 million for failing to maintain records required by the agency.

U.S. Securities and Exchange Commission (SEC) Chairman Gary Gensler, testifies before the Senate Banking, Housing and Urban Affairs Committee during an oversight hearing on Capitol Hill in Washington, September 15, 2022.
Evelyn Hockstein | Reuters

U.S. regulators on Tuesday announced a combined $549 million in penalties against Wall Street firms that failed to maintain electronic records of employee communications.
The Securities and Exchange Commission announced charges and $289 million in fines against 11 firms for “widespread and longstanding failures” to maintain records, including by allowing employees to use unsupervised side channels such as messaging apps WhatsApp and Signal, the regulator said.

The Commodity Futures Trading Commission also said it fined four banks a total of $260 million for failing to maintain records required by the agency.
Wells Fargo, the fourth biggest U.S. bank by assets and a relatively small player on Wall Street, racked up the most fines, with a total of $200 million in penalties.
This story is developing. Please check back for updates. More

Philadelphia Fed President Patrick Harker on Tuesday indicated that the central bank could be at the end of its current rate-hiking cycle.
“I believe we may be at the point where we can be patient and hold rates steady and let the monetary policy actions we have taken do their work,” the FOMC voting member said in a speech.
Harker indicated there are unlikely to be rate cuts anytime soon.

Patrick Harker at Jackson Hole, Wyoming
David A. Grogan | CNBC

Philadelphia Federal Reserve President Patrick Harker on Tuesday indicated that the central bank could be at the end of its current rate-hiking cycle.
A voter this year on the rate-setting Federal Open Market Committee, the central bank official noted progress in the fight against inflation and confidence in the economy.

“Absent any alarming new data between now and mid-September, I believe we may be at the point where we can be patient and hold rates steady and let the monetary policy actions we have taken do their work,” Harker said in prepared remarks for a speech in Philadelphia.
That statements comes after the FOMC in July approved its 11th hike since March 2022, taking the Fed’s key interest rate from near-zero to a target range of 5.25%-5.5%, the highest in more than 22 years.
While projections committee members made in June pointed to an additional quarter-point hike this year, there are differences of opinion on where to go from here. New York Fed President John Williams also indicated, in an interview with the New York Times published Monday, that the rate increases could be over. Governor Michelle Bowman said Monday that she thinks additional hikes are probably warranted.
Markets are pricing in more than an 85% probability that the Fed holds steady at its Sept. 19-20 meeting, according to CME Group data. Pricing action indicates the first decrease could some as soon as March 2024.
Harker indicated there are unlikely to be rate cuts anytime soon.

“Allow me to be clear about one thing, however. Should we be at that point where we can hold steady, we will need to be there for a while,” he said. “The pandemic taught us to never say never, but I do not foresee any likely circumstance for an immediate easing of the policy rate.”
The Fed was forced into tightening mode after inflation hit its highest level in more than 40 years. Officials at first dismissed the price increases as “transitory,” then were forced into a round of tightening that included four consecutive three-quarter point increases.
While many economists fear the moves could drag the economy into recession, Harker expressed confidence that inflation will progress gradually to the Fed’s 2% goal, unemployment will rise only “slightly” and economic growth should be “slightly lower” than the pace so far in 2023. GDP increased at a 2% annualized pace in the first quarter and 2.4% in the second quarter.
“In sum, I expect only a modest slowdown in economic activity to go along with a slow but sure disinflation,” he said. “In other words, I do see us on the flight path to the soft landing we all hope for and that has proved quite elusive in the past.”
Harker did express some concern over commercial real estate as well as the impact that the resumption of student loan payments will have on the broader economy.
Policymakers will get their next look at the progress against inflation on Thursday, when the Bureau of Labor Statistics releases its July reading on the consumer price index. The report is expected to show prices rising 0.2% from a month ago and 3.3% on a 12-month basis, according to economists polled by Dow Jones. Excluding food and energy costs, the CPI is projected to grow 0.2% and 4.8% respectively. More

Italian Deputy Prime Minister Matteo Salvini announced on Monday a 40% levy on banks’ extra “excess” profits derived from higher interest rates.
The one-off tax will be equal to around 19% of banks’ net profits for the year, analysts at Citi estimated based on currently available data.
“We see this tax as substantially negative for banks given both the impact on capital and profit as well as for cost of equity of bank shares,” Citi said.

ROME – August 7, 2023: (L-R) Carlo Nordio, Minister of Justice, Adolfo Urso, Minister of Enterprise and Made in Italy, Matteo Salvini, Deputy Prime Minister and Minister of Transport, Francesco Lollobrigida, Minister of Agriculture and Orazio Schillaci, Minister of Health hold a press conference at Palazzo Chigi at the end of the Council of Ministers No. 47.
Simona Granati – Corbis/Corbis via Getty Images

Italian banking shares took a beating on Tuesday morning after Italy’s cabinet approved a 40% windfall tax on lenders’ “excess” profits in 2023.
As of 2:32 p.m. in Rome, BPER Banca shares were 10% lower and Banco BPM shares dropped 9%, while Intesa Sanpaolo and Finecobank were both down more than 8% and UniCredit fell more than 6%.

The effects were seen beyond Italy, with Germany’s Commerzbank down around 3.2% and Deutsche Bank trading 2% lower.
Italian Deputy Prime Matteo Salvini told a press conference on Monday that the 40% levy on banks’ extra profits derived from higher interest rates, amounting to several billion euros, will be used to cut taxes and offer financial support to mortgage holders.
“One only has to look at the banks’ first-half 2023 profits, also the result of the European Central Bank’s rate hikes, to realise that we are not talking about a few millions, but we are talking one can assume of billions,” Salvini said, according to a Reuters translation.
“If [it is true that] the cost of money burden for households and businesses has increased and doubled, it has not equally doubled what is given to current account holders.”

‘Substantially negative for banks’

The one-off tax will be equal to around 19% of banks’ net profits for the year, analysts at Citi estimated based on currently available data.

“We see this tax as substantially negative for banks given both the impact on capital and profit as well as for cost of equity of bank shares. The new simulated impact is also higher [than] the simulation we ran in April,” Citi Equity Research Analyst Azzurra Guelfi said in a note Tuesday.
The tax will apply to “excess” net interest income in both 2022 and 2023 resulting from higher interest rates, and will be applied on NII exceeding 3% year-on-year growth in 2022 from 2021 levels, and exceeding 6% year-on-year growth in 2023 versus 2022. Banks are required to pay the tax within six months after the end of the financial year.
“The introduction of this tax (which was discussed, then left pending) could lead to Italian banks increasing their cost of deposits in order to reduce the extra profit, and this comes after a round of results when every bank increases 2023 guidance for NII and assuming a slowdown of growth in 2H (due to raising deposit beta, even if expectation below previous guidance),” Citi said.
“It is not clear whether the tax will apply to domestic NII only (we base our simulation on this), and this could have larger impact for UCI vs. peers (given international franchise).” More

Among the smaller lenders receiving an official ratings downgrade were M&T Bank, Pinnacle Financial, BOK Financial and Webster Financial.
Major lenders Bank of New York Mellon, U.S. Bancorp, State Street, Truist Financial, Cullen/Frost Bankers and Northern Trust are now under review for a potential downgrade.

A general view of the New York Stock Exchange (NYSE) on Wall Street in New York City on May 12, 2023.
Angela Weiss | AFP | Getty Images

Moody’s cut the credit ratings of a host of small and mid-sized U.S. banks late Monday and placed several big Wall Street names on negative review.
The firm lowered the ratings of 10 banks by one rung, while major lenders Bank of New York Mellon, U.S. Bancorp, State Street, Truist Financial, Cullen/Frost Bankers and Northern Trust are now under review for a potential downgrade.

Moody’s also changed its outlook to negative for 11 banks, including Capital One, Citizens Financial and Fifth Third Bancorp.
Among the smaller lenders receiving an official ratings downgrade were M&T Bank, Pinnacle Financial, BOK Financial and Webster Financial.
“U.S. banks continue to contend with interest rate and asset-liability management (ALM) risks with implications for liquidity and capital, as the wind-down of unconventional monetary policy drains systemwide deposits and higher interest rates depress the value of fixed-rate assets,” Moody’s analysts Jill Cetina and Ana Arsov said in the accompanying research note.
“Meanwhile, many banks’ Q2 results showed growing profitability pressures that will reduce their ability to generate internal capital. This comes as a mild U.S. recession is on the horizon for early 2024 and asset quality looks set to decline from solid but unsustainable levels, with particular risks in some banks’ commercial real estate (CRE) portfolios.”
Regional U.S. banks were thrust into the spotlight earlier this year after the collapse of Silicon Valley Bank and Signature Bank triggered a run on deposits across the sector. The panic eventually spread to Europe and resulted in the emergency rescue of Swiss giant Credit Suisse by domestic rival UBS.

Though authorities went to great lengths to restore confidence, Moody’s warned that banks with substantial unrealized losses that are not captured by their regulatory capital ratios may still be susceptible to sudden losses of market or consumer confidence in a high interest rate environment.
The Federal Reserve in July lifted its benchmark borrowing rate to a 5.25%-5.5% range, having tightened monetary policy aggressively over the past year and a half in a bid to rein in sky-high inflation.
“We expect banks’ ALM risks to be exacerbated by the significant increase in the Federal Reserve’s policy rate as well as the ongoing reduction in banking system reserves at the Fed and, relatedly, deposits because of ongoing QT,” Moody’s said in the report.
“Interest rates are likely to remain higher for longer until inflation returns to within the Fed’s target range and, as noted earlier, longer-term U.S. interest rates also are moving higher because of multiple factors, which will put further pressure on banks’ fixed-rate assets.”
Regional banks are at a greater risk since they have comparatively low regulatory capital, Moody’s noted, adding that institutions with a higher share of fixed-rate assets on the balance sheet are more constrained in terms of profitability and ability to grow capital and continue lending.
“Risks may be more pronounced if the U.S. enters a recession – which we expect will happen in early 2024 – because asset quality will worsen and increase the potential for capital erosion,” the analysts added.
Though the stress on U.S. banks has mostly been concentrated in funding and interest rate risk resulting from monetary policy tightening, Moody’s warned that a worsening in asset quality is on the horizon.
“We continue to expect a mild recession in early 2024, and given the funding strains on the U.S. banking sector, there will likely be a tightening of credit conditions and rising loan losses for U.S. banks,” the agency said. More

A UPS worker checks an Amazon box to be delivered in New York.
Eduardo Munoz | Reuters

Check out the companies making headlines in premarket trading.
Sagimet Biosciences — Shares of the biopharmaceutical company popped 31% following an upgrade from Goldman Sachs. The firm highlighted Sagimet could see strong gains thanks to progress on a treatment for  non-alcoholic steatohepatitis (NASH).

Banks —U.S. bank stocks fell broadly after Moody’s cut ratings on several institutions, including M&T Bank, Citizens Financial, Bank of New York Mellon and Truist Financial. Moody’s cited a higher interest rate environment as well as asset-liability management risks (ALM) as continued headwinds for U.S. banks. Major banks including Goldman Sachs and JPMorgan Chase traded more than 1% lower, while the regional bank ETF (KRE) fell nearly 3%.
Home Depot, Lowe’s — Both home improvement retailers fell more than 1% each in premarket trading. Telsey Advisory Group downgraded both stocks to market perform earlier on Tuesday, over more cautious consumer spending and weakening housing market trends.
Eli Lilly — The pharmaceutical stock climbed 8.6% after an earnings beat. The company reported an adjusted $2.11 per share on revenue of $8.31 billion, while analysts polled by Refinitiv forecasted $1.98 and $7.58 billion.
Novo Nordisk — Shares of the pharmaceutical company popped 13% after trial results showed its weight-loss drug Wegovy cut the risk of heart disease by 20% in adults with obesity.
EchoStar — Billionaire Charlie Ergen said he would reunite Dish and EchoStar in a merger, about 15 years after EchoStar was spun out. EchoStar slid more than 10%, while Dish gained more than 1%.

United Parcel Service — Stock in the shipping behemoth fell nearly 5% after missing on second-quarter revenue. UPS notched an adjusted $2.54 per share on $22.1 billion in revenue, while analysts polled by Refinitiv expected $2.50 per share and $23.1 billion. UPS also lowered forward guidance for the third-quarter.
Lucid Group — Shares of the electric automaker slid less than 1% after Lucid reported a wider than expected loss for the second quarter. The company had an adjusted loss of 42 cents per share on $151 million of revenue. Analysts surveyed by Refinitiv had penciled in a loss of 33 cents per share on $175 million of revenue. Lucid said it was still on track to manufacture more than 10,000 vehicles this year.
Palantir Technologies — Palantir Technologies slid 3.4% after the data analytics company reported its second-quarter results. Palantir reported earnings of 5 cents per share on revenue of $533 million, which was in line with expectations from analysts polled by Refinitiv.
Chegg — Chegg shares surged more than 20% after topping second-quarter revenue expectations and outlining plans to integrate AI-focused strategies. The educational technology company posted revenues of $183 million, ahead of the $177 million expected by analysts, per Refinitiv. Earnings came shy of the 29 cents expected per share at 28 cents.
Hims & Hers Health — The telehealth stock added 17% on better-than-expected quarterly results. The company reported an adjusted quarterly loss of 3 cents per share on $208 million in revenue, while analysts polled by Refinitiv forecasted 5 cents and $205 million. Hims also raised forward guidance for the third quarter to a range of $217 million to $222 million.
Beyond Meat — The plant-based meat company fell more than 14% after missing on second-quarter revenue, citing weak U.S. demand. Beyond Meat reported an adjusted loss of 83 cents per share on $102.1 million in revenue, while Refinitiv forecasted 86 cents and $108.4 million.
Paramount Global — The media conglomerate’s shares climbed more than 2% in premarket trading after the company reported a quarterly earnings and revenue beat. Paramount said its streaming segment continued to grow, with about 61 million subscribers by the end of the quarter. Subscription revenue grew more than 47% to $1.22 billion. The firm also agreed to sell book publisher Simon & Schuster to KKR for $1.62 billion.
— CNBC’s Yun Li, Samantha Subin, Sarah Min, Pia Singh and Jesse Pound contributed reporting. More

China is planning to restrict businesses’ use of facial recognition technology in favor of non-biometric methods, according to the Cyberspace Administration.
If facial recognition is used, the proposed rules encourage use of national systems.
Airports, hotels, stations, banks, stadiums, exhibition halls and other business establishments shall not use facial recognition to verify personal identity, unless required by law, the draft rules said.
The draft is open for public comment until Sept. 7.

Passengers swipe ID cards to exit Fuzhou South Railway Station on Dec. 16, 2021. The process doesn’t require passengers to remove masks for facial recognition.
China News Service | China News Service | Getty Images

BEIJING — China is planning to restrict businesses’ use of facial recognition technology in favor of non-biometric personal identification methods, according to draft rules from the Cyberspace Administration released Tuesday.
The proposed policy requires individual consent, and a specific purpose, for using facial recognition.

“If there are non-biometric verification technology for achieving a similar purpose or business requirements, those non-biometric verification methods should be preferred,” the draft said in Chinese, translated by CNBC.
However, individual consent isn’t required for certain administrative situations, which the draft did not specify. If facial recognition is used, the proposed rules encourage use of national systems.
Installation of image collection and personal identification equipment in public places should be for the purpose of maintaining public safety, the draft rules said, noting clear signage is required.

How facial recognition is being tested

Businesses in China have experimented with using facial recognition for payment at convenience stores.
Some apartment compounds have installed facial recognition systems to allow tenants to enter by just scanning their faces. Some subway turnstiles in Beijing have installed what appear to be facial recognition scanners, but they remain covered up.
At high-speed train stations, Chinese ID holders can simply swipe their ticket-linked ID cards to enter the train station and platform — sometimes with the assistance of facial recognition.

Where the tech may be restricted

Airports, hotels, stations, banks, stadiums, exhibition halls and other business establishments should not use facial recognition to verify personal identity, unless required by law, the Cyberspace Administration of China said in its proposed rules.
The draft did not specify the law’s requirements, but said businesses should not require people to use facial recognition to receive better services.

Building management cannot use facial recognition as the only way for people to enter or exit, the draft said, noting if individuals don’t agree to facial recognition, management should provide other “reasonable and convenient” methods.
Hotel rooms, public bathrooms, changing rooms and bathrooms must not install equipment for collecting images or personal information, the proposed rules said.
The draft is open for public comment until Sept. 7.
Last week, China’s increasingly powerful cybersecurity regulator released draft rules for restricting minors’ phone screen time and boosting personal data protection requirements. The proposed rules are open to public comment. More

Beyond Meat’s Cookout Classic value pack.
Beyond Meat

Check out the companies making headlines in after-hours trading.
Chegg — Shares soared more than 25% after the educational tech company posted quarterly results. Chegg notched second-quarter revenue of $183 million, while analysts polled by Refinitiv had expected $177 million.

Hims & Hers Health — Stock in the telehealth company climbed 16% after an earnings beat. Hims & Hers posted a second-quarter loss of 3 cents per share on revenue of $208 million. Analysts polled by Refinitiv called for a 5 cent loss per share and revenue of $205 million. The company also posted rosy guidance on revenue for the third quarter, giving a range of $217 million to $222 million, while analysts estimated $214 million.
Paramount Global — The media conglomerate added almost 4% in extended trading hours after posting an earnings and revenue beat. The company earned an adjusted 10 cents per share and $7.62 billion in revenue in the second quarter, while analysts polled by Refinitiv forecast flat EPS and $7.43 billion in revenue.
Lucid — Stock in the electric vehicle maker climbed roughly 3%. In the second quarter, the company reported $150.9 million in revenue against analysts’ estimate of $175 million, per Refinitiv. Still, the company’s $3 billion capital raise from May should assuage capital concerns for another year, executives said.
International Flavors & Fragrances — Shares slipped more than 19%. The company reported $2.9 billion in revenue in the second quarter. Analysts polled by Refinitiv called for $3.07 billion in revenue.
Celanese — The materials stock fell nearly 3% after missing on both the top and bottom line in the second quarter. Celanese reported adjusted earnings of $2.17 per share and $2.8 billion in revenue, against a FactSet forecast of $2.49 per share in earnings and $2.55 billion in revenue.
Beyond Meat — The plant-based meat supplier slumped more than 8% after reporting a second-quarter revenue miss due to lower U.S. demand. The company noted an adjusted loss of 83 cents per share and $102.1 million in revenue, while analysts polled by Refinitiv expected a loss of 86 cents and revenue of $108.4 million. More