UBS warns downgrade cycle looms after earnings season

UBS has warned surging inflation threatens to spark an earnings downgrade cycle for a broad range of ASX-listed businesses battling clogged supply chains, chronic labour shortages andfalling household wealth.

After June’s 6.1 per cent annual inflation print, some engineering and technical workers are expected to score hefty wage rises based on union agreements. A Sydney McDonald’s offered hopeful fast food workers a $1000 joining bonus in July, “The reason [tech] labour costs are a big part of total operating costs is because versus many other industries, the tech industry doesn’t have many raw materials as input costs,” said Mr Schellbach.

United States United States Latest News, United States United States Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Resources to electrify profits in high-stakes earnings seasonThe ASX’s coal, oil and gas producers are on the cusp of reporting exceptional results in the annual profit season kicking off this week, drawing a line under a volatile year for the sharemarket as it faces a slowdown in growth.
Source: FinancialReview - 🏆 2. / 90 Read more »

Treasurer puts gas companies on notice as supply shortfall loomsThe consumer watchdog has warned the local energy market may suffer a shortfall in wholesale supply as gas companies announce record profits. Don't put them on notice' just do it like they do with consumers. Just do it. Pull gas trigger while hitting these companies with massive tax increase Lol.....and they are shaking in there boots i bet. All good tho. They will just cap more wells and say there is no gas as the prices rise.
Source: brisbanetimes - 🏆 13. / 67 Read more »