US stocks fall as Target plunges on weak results

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Target, the North American-focused big-box retailer, plunged more than 25 percent after earnings missed expectations despite higher sales.

The company pointed to the hit from higher operating costs in results that echoed those of bigger rival Walmart, which had an ugly day on Tuesday after also citing profit pressures.

The weak results come in a market already buffeted by recession fears as the Federal Reserve raises interest rates to counter inflation.The broad-based S&P 500 shed 1.5 percent to 4,026.12, while the tech-rich Nasdaq Composite Index dropped 1.8 percent to 11,769.95. Among other companies reporting results, home-improvement retailer Lowe's declined 2.2 percent, while the discount company TJX gained 7.8 percent.

 

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