The Clap
Inflation remains a serious concern for companies as earnings season kicks off.
The Deets
Many companies that reported earnings during the first two weeks of earnings season have raised concerns about inflation.
Continued supply chain issues continue to drive inflation up, with no indicators of slowing down any time soon.
Consumer spending has changed, with consumers opting to spend less on products and shifting away from expensive purchases.
Why this Matters
Inflation continues to hurt companies’ profitability, with costs of raw materials and operating expenses increasing.
What Now
Analysts expect inflation to continue to be a problem during 2023 but may begin easing during the latter part of the year.
