Walmart issued a profit warning after inflation hit demand and it slashed prices to move inventory. Michael Burry of ‘The Big Short’ predicted lower spending and markdowns would hit retail earnings. Burry expects a ‘disinflationary overstock consumer recession by Christmas’ Walmart’s profit warning this week suggests Burry’s call was right on the money. The world’s biggest retailer complained that higher food and food prices are eroding its ability to buy clothes and other non-food products, leaving it no butsold goods to its Walmart and Sam Club stores across the US. Walmart’s CEO Doug McMillon said ‘We’re now anticipating more pressure on general merchandise in the back half of the half’ of this year. Walmart anticipates a decline of 11% to 13%. . . .
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