Core Points - The Supreme Court's potential ruling on President Trump's tariffs could significantly impact economic forecasts and business planning, particularly if the tariffs are deemed unconstitutional [1][2] - Tariff uncertainty has led to a slowdown in hiring and capital spending across various sectors, with businesses hesitant to commit due to the unpredictable tariff landscape [3] - New tariffs can still be imposed under national security laws, which are not affected by the current ruling, potentially expanding tariffs on industries like semiconductors and pharmaceuticals [4] Economic Impact - If the challenged tariffs remain in place, consumer prices could rise by approximately 1%, leading to reduced spending, although this may not trigger a recession [5] - The global economy is undergoing structural changes as businesses adapt to tariff uncertainties, with a shift towards shorter supply chains and diversified sourcing strategies [6][7] - These adjustments may lead to a slight increase in production costs, impacting consumer prices but not significantly harming the overall economy [10] Business Strategies - Companies are increasingly sourcing materials locally or diversifying their supply chains to mitigate risks associated with tariffs [7][9] - The transition to more localized production and diversified sourcing will take time, but it is expected to gradually reshape global production dynamics [11] - The outcome of the Supreme Court decision will have varying effects on specific companies, necessitating close monitoring by affected business leaders [12]

Economic Indicators - The jobs data is anticipated to influence Federal Reserve's decision on rate cuts, with a 97% chance of a cut in September according to the FedWatch tool [3][4] - Inflation remains persistent, with PCE showing an annual growth of 2.9%, and CPI expected to reflect similar trends [5][6] Precious Metals Market - Gold prices are reaching record highs, while silver is also experiencing significant gains, indicating a strong interest in precious metals as an inflation hedge [6][7] Retail Sector Performance - Macy's reported a 21% increase in stock price post-earnings, reflecting signs of recovery despite facing tariff headwinds [11] - Dollar Tree's stock fell by 9% after earnings due to significant tariff impacts affecting low-end consumer spending [13][14] - American Eagle's stock surged by 26% following a successful marketing campaign, showcasing the potential for political spotlight to drive sales [15][16] Technology Sector Insights - Google’s stock rose by 9% after avoiding a forced sale of its Chrome browser amid antitrust scrutiny, indicating a favorable regulatory environment for big tech [20][22] - Salesforce's stock declined by 7% despite beating earnings expectations, raising questions about the effectiveness of AI integration into its business model [24][26] - Alibaba reported a 26% growth in its cloud business driven by AI, contrasting with Salesforce's struggles, highlighting the varying impacts of AI across companies [26] Upcoming Earnings and Market Trends - Adobe's upcoming earnings report is expected to reveal how effectively its AI investments are translating into revenue, similar to the scrutiny faced by Salesforce [27][28] - Broadcom's results will provide insights into the tech infrastructure supporting AI development, relevant for companies like Salesforce and Adobe [28][29]

The last word with Lawrence O'Donnell starts right now. Hey, Lawrence. >> Hey, Jen.We have uh Abigail Spamberger joining us tonight, candidate for governor in Virginia, the most important election of the year, as you know. Of course, >> my home state. >> Yeah.And uh it's always it's um it's as if some uh political science class designed this that there's always the governor's election in Virginia the year after the presidential election because Virginia has that one term limit >> for the governor four years ...

Hello. Hello. I'm Yao Finance executive editor Brian Sazi and you're taking a look at a live shot of the opening bells on Wall Street on this Friday morning.Uh ELF Beauty or Elf Beauty. They either go by either name, I think. Uh ringing the bell to New York Stock Exchange, BCB Investment Corp. getting things underway at the NASDAQ.The hidden messages from the jobs report. There are a lot here, folks. Lot to unpack.US economy created a near 22,000 jobs in August, badly missing economists uh estimates for abo ...

Core Insights - Lululemon Athletica reported its Q2 fiscal 2025 results, surpassing earnings estimates but providing disappointing guidance for the full fiscal year, leading to a significant drop in stock price [2][3][7]. Financial Performance - Lululemon's international net revenue increased by 22%, with international comparable sales up 15% and gross profit rising 5% to $1.5 billion [3][4]. - In contrast, net revenue in the Americas grew by only 1%, and comparable sales in the Americas decreased by 4% [4][6]. - Overall, Lululemon's global net revenue increased by 7% to $2.5 billion, with total revenue for the quarter reported at $2.53 billion, slightly below analyst expectations of $2.54 billion [6][9]. Guidance and Market Reaction - The company revised its full-year revenue guidance for fiscal 2025 to a range of $10.85 billion to $11 billion, below the $11.18 billion expected by analysts [8][9]. - Lululemon's diluted earnings per share (EPS) guidance was lowered to between $12.77 and $12.97, significantly below the expected EPS of $14.45 [9][10]. External Factors Impacting Guidance - The decline in guidance is attributed to the expiration of the de minimis exemption and increased tariffs, which are expected to reduce gross profit by approximately $240 million [10][11][12]. - The removal of the de minimis exemption means higher costs for shipping goods valued under $800 to U.S. customers, potentially leading to reduced consumer spending [11][12]. Stock Performance - Following the earnings report, Lululemon's stock price fell by 19% to $166.94 per share, marking its lowest point in over five years [13]. - Year-to-date, Lululemon shares have lost more than 46% of their value, primarily due to concerns over the impact of tariffs on the company's import-heavy business model [14].

The August jobs report was released moments ago, showing that the US added just 22,000 jobs last month, much much less than the 75,000 that economists expected. The unemployment rate also saw a slight increase to 4.3%. This, of course, the first jobs report released since President Trump fired the head of the Bureau of Labor Statistics last month after that report showed not just a weak level of job creation, but also a dramatic reductions in previous month's totals.There's no way to sugarcoat this. This jo ...

Prime Minister Mark Carney rolled out a multi-billion dollar relief package for Canadian businesses battered by tariffs imposed by both the US and China https://t.co/EJDaZLy8M5 ...

Core Insights - Lululemon Athletica Inc experienced an 18.1% decline in stock price, trading at $168.76, after exceeding second-quarter earnings expectations but missing revenue targets [1] - The company faces significant challenges from tariffs, estimated to impact around $240 million, leading to a reduction in fiscal third-quarter and full-year guidance [1] - Year-to-date, the stock is down 55.7%, indicating a potential for further losses as support at the $170 level weakens [2] Analyst Ratings - At least 15 firms have downgraded or lowered their price targets for Lululemon, with UBS reducing its target from $240 to $184 and Stifel downgrading to "hold" from "buy" [3] - Among the 31 analysts covering the stock, 17 have a "hold" or worse rating, reflecting a cautious outlook [3] Options Activity - Options trading has surged, with 176,000 calls and 172,000 puts traded, which is 10 times the typical volume [4] - The 50-day call/put volume ratio stands at 1.64, placing it in the 95th percentile of annual readings, indicating high levels of trading activity [4] Volatility Performance - The equity has historically outperformed volatility expectations, as indicated by a Schaeffer's Volatility Scorecard (SVS) of 98 out of 100 [5]

Financial Performance & Guidance - Lululemon's earnings guidance came in well below estimates, marking the second guidance cut this year [1][2] - The company attributes the updated guidance to the impact of tariffs and the unexpected removal of the *de minimis* exception [2][3] Impact of Tariffs & *De Minimis* - The removal of the *de minimis* exception significantly impacted Lululemon, as two-thirds of online orders (majority under $800) were previously shipped from a Canadian facility without tariffs [4] - Lululemon is adjusting its distribution network in response to tariffs, a change considered a paradigm shift for the industry [4][5] - The company is exploring vendor partnerships for cost reductions, internal cost reduction measures, and strategic pricing adjustments to mitigate tariff impacts [5][6] - Some price increases on apparel are expected due to tariffs, implemented strategically based on elasticity modeling [6] North American Market Performance - Growth has stalled in the key North American market, particularly in the US [9] - Underperformance in the US is attributed to product issues, specifically in lounge and social categories, due to a lack of newness and innovation in core franchises [10][14] - Lululemon acknowledges the need to update product assortment, color, and style to better engage guests [10] Competition & Market Share - While consumer spending is down in apparel, activewear, and premium activewear, Lululemon claims to have gained market share in the premium activewear category in Q2 [13] - The company acknowledges competition from brands like Alo Yoga and Viori but believes it can win by delivering innovation [13][14] Future Strategy & Innovation - Lululemon hired a new lead creative director a year ago to energize the product playbook and drive innovation [15] - The company anticipates a shift towards more new styles, increasing from an average of 23% of the mix to 35% next year, expecting a turnaround [16] - Lululemon is confident in new styles and expects them to resonate with guests, with exciting new products coming next year [18]

The Supreme Court ordinarily wouldn't even hear this case because the Court of International Trade and the Court of Appeals have both reached the same conclusion, which is that Trump doesn't have the authority. No president has the authority under the 1977 International Economic Power Emergency Act. The cut and dry answer is that the Supreme Court is likely to find on the legal question that the president doesn't have the authority to impose these tariffs.Moreover, they've also decided in the last couple of ...