FEDEX shares up 2% after earnings miss estimates

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FEDEX shares up 2% after earnings miss estimates

Here are the events that take place on Friday.

FEDEX shares gained more than 2% in after-hours trading after reporting that revenue rose 8% in the fourth quarter, helped by higher shipping rates and fuel surcharges. Operating income went up 6.7% from a year ago to $1.9 billion. Earnings of $6.87 per share were not met Wall Street expectations. FedEx expects full-year earnings in the range of $22.50 to $24.50 per share.

Revenue at the firearms maker was 44% in the fourth quarter, as demand moderated. A year ago, the profit was $36.1 million, or 79 cents a share, compared to $89.2 million, or $1.70 a share. Earnings per share were 82 cents, better than the estimate for 67 cents.

The Federal Reserve determined Thursday that the nation's major banks are in good shape and can withstand a severe economic contraction. The Federal Reserve passed a passing rating after the latest annual stress tests. This year's scenario was able to handle an increase in value that could cause losses of more than $600 billion, due to a contraction in commercial real estate and stock market values that could cause losses of more than double to 10%.

The Census Bureau is expected to say that sales of new single-family homes fell by 0.5% in May to a seasonally adjusted annual rate of 588,000. It would be the fifth month in a row. Surging mortgage rates and record high prices have shut down many homebuyers out of the market.

On Tuesday, sales of existing homes fell to a 2 year low due to rising borrowing costs.

CONSUMER SENTIMENT: The University of Michigan will report its final index of consumer sentiment for June. It's expected to hold steady at the preliminary reading of 50.2, a record low as gasoline prices soared to all-time highs, leading to inflation fears.