U.S. Markets closed

News Summary: FedEx 2Q earnings fall

The Associated Press

MACROECONOMIES-MACRO STORM: FedEx, the world's second-largest package delivery company, posted a 12 percent decline in second-quarter profits due to weakness in its air network and the impact of Superstorm Sandy.

A LOOK AHEAD: The company maintained its forecast for the full fiscal year ending in May, counting on a massive cost cutting plan to offset global economic weakness. Its forecast for the current quarter, which incorporates the critical holiday season, falls below Wall Street expectations.

UNEVEN RESULTS: Growth in the company's freight and ground operations boosted results, but FedEx reported "persistent weakness" in its core express network. FedEx and its larger rival UPS Inc. have both seen consumers and businesses opt for slower shipping options to cut costs.