The markets are off to a slow start on Friday as earnings season crawls to a close. Over 80% of S&P 500 companies have reported quarterly results.
"Bond yields have been flashing recession signals for a number of months, now, with corporate layoffs running at their fastest pace since 2008 over the three months ending in January and broader economic indicators suggesting the chances of a near-term contraction are gathering pace," wrote TheStreet's Martin Baccardax.
Lyft shares tanked after the company posted quarterly results that disappointed investors. However, the revenue did come in above expectations at $1.18 billion, versus $1.16 billion.
March quarter revenue guidance came in lower than expected at $975 million. Analysts were looking for $1.09 billion.
"This is obviously not the level of growth or profitability we are aiming for or capable of. And we are laser-focused on driving additional growth and managing costs," CEO Logan Green told investors on a conference call late Thursday.
"Relative to three months ago, the competitive dynamics changed and the better marketplace balance we see today creates significant opportunities for long-term growth," he added. "To take advantage of this opportunity and grow the market, we must prioritize competitive service levels."
Adidas, in its quarterly results, posted a profit slump due to its severed relationship with Ye West and his Yeezy brand. Adidas has warned that it will have to write down the inventory unless it is able to repurpose it. The company stated that not selling the Yeezy products from its previous partnership with West could lead to a cost of €1.2. billion in full-year sales.
