Grim news from Walmart sends US markets tumbling

Wall Street is opening lower Tuesday, dragged down by weak profit reports from some of the biggest names in corporate America. The S&P 500 is down almost half a percent at the open and the Dow Jones Industrial Average is also falling slightly. The Nasdaq Composite is heading for a bigger drop. Walmart shares are plunging after the nation’s biggest retailer lowered its profit forecast and said surging inflation on basics like food that is making shoppers cut back. GM is down 4% after saying computer chip and parts shortages hobbled factory output in the second quarter.

(asterisk)(asterisk)(asterisk)THIS IS A BREAKING NEWS UPDATE. AP’s earlier story appears below. (asterisk)(asterisk)(asterisk)

U.S. markets headed toward a lower open Tuesday ahead of what is expected to be another sharp interest rate hike by the Federal Reserve this week and troublesome news from Walmart which is considered a bellwether for consumer spending as well as the broader retail sector.

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