FedEx Reports Higher Second-Quarter Revenue as Package Volumes Rise

FedEx reported its Q2 2026 earnings, surpassing analysts' expectations, which led to a rise in its stock price. The company has raised its adjusted earnings forecast for the fiscal year to a range of $17.80 to $19 per share, indicating strong financial performance.

FedEx has raised the low end of its full-year profit and sales outlook, indicating that its cost-cutting measures and restructuring of delivery networks are proving effective as demand for shipping improves. The company now expects adjusted earnings of $17.80 to $19 per share for the fiscal year, following a second-quarter profit that exceeded expectations.

Economists have indicated that the significant drop in November inflation is largely attributed to data challenges stemming from the recent government shutdown, rather than genuine shifts in economic conditions. This situation has complicated the accurate assessment of inflation metrics, particularly in housing costs, which constitute a major part of the price index.

The recent inflation report revealed significant data problems, particularly in calculating housing costs, which are a major component of the price index. These issues are expected to persist for several months, complicating economic assessments and forecasts.

KB Home reported a quarterly profit of $101.5 million, reflecting a decline in home deliveries amid a stagnant housing market that continues to impact its financial performance negatively. The company's results indicate ongoing challenges as it navigates a competitive landscape with reduced demand for new homes.

FedEx has raised its adjusted earnings forecast for the fiscal year to a range of $17.80 to $19 per share, increasing the low end of its previous profit estimate. This adjustment positions the midpoint above the average analyst estimate of $18.28 per share, as reported by Bloomberg.

Consumer prices in the U.S. rose by 2.7% in November compared to the previous year, a decrease from the 3% increase recorded in September, according to a delayed report from the government. This slowdown in inflation reflects changing economic conditions and consumer behavior.

The Bank of Mexico has lowered its benchmark interest rate to 7% from 7.25%, marking the 12th consecutive cut, with a 4-1 vote by the central bank's board. This decision indicates a potential pause in rate reductions before further adjustments in 2026.