McDonald’s slides on NYSE after posting sales fall

<p>McDonald’s shares are down on the NYSE after the chain reported a fall in profits.</p>

McDonald's has seen its shares slip on the New York Stock Exchange (NYSE) today (November 9th) after it reported its first monthly sales decline in nine years.

Yesterday, the fast food franchise reported that its global sales for October were lower on a year-on-year basis by 1.8 per cent.

These declines were felt across the company's international empire, with US and European sales decreasing by 2.2 per cent, while demand in Asia, Africa and the Middle East retreated by 2.4 per cent.

It was thought that McDonald's was immune to the recession, but the restaurant chain cited challenging market conditions as a reason for this tumble. Furthermore, the company is up against stiff competition from rival Yum Brands and new healthy opponents.

Chief executive Don Thompson said: "I am confident that our strategies and the adjustments we are making in response to the current business headwinds will build sales momentum."

At 14:55 GMT, McDonald's was down by 1.1 per cent on the NYSE, slipping to a share price of $84.15.

Find out about the Dow Jones and CFD trading at City Index.

Build your confidence risk free
Join our live webinars for the latest analysis and trading ideas. Register now

StoneX Financial Ltd (trading as “City Index”) is an execution-only service provider. This material, whether or not it states any opinions, is for general information purposes only and it does not take into account your personal circumstances or objectives. This material has been prepared using the thoughts and opinions of the author and these may change. However, City Index does not plan to provide further updates to any material once published and it is not under any obligation to keep this material up to date. This material is short term in nature and may only relate to facts and circumstances existing at a specific time or day. Nothing in this material is (or should be considered to be) financial, investment, legal, tax or other advice and no reliance should be placed on it.

No opinion given in this material constitutes a recommendation by City Index or the author that any particular investment, security, transaction or investment strategy is suitable for any specific person. The material has not been prepared in accordance with legal requirements designed to promote the independence of investment research. Although City Index is not specifically prevented from dealing before providing this material, City Index does not seek to take advantage of the material prior to its dissemination. This material is not intended for distribution to, or use by, any person in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.

For further details see our full non-independent research disclaimer and quarterly summary.