FedEx's Weak Outlook

FedEx reported loss for fiscal fourth quarter due to rising costs and FedEx Kinko's Unit.

FedEx predicted a "very difficult" environment and lowered earnings forecast.

FedEx's fuel surcharge is 28 percent (up from 18.5% in March). The surcharge has led customers to downgrade to cheaper options. If this is not a classic definition of stagflation, I don't know what is. Of course, according to the government, the 28% surcharge is not inflation because it is not part of the price. But as time goes on, does the surcharge become part of price? If it does, we've got hyperinflation.

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