Economist: Nike shares climb

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00:00And it is claiming, of course, the big sportswear brand that Trump's tariffs could have a massive impact on its cost.

00:08And I think this is one of the major brands in the world.

00:11So what more do we know? And do you think we'll see Donald Trump actually stand up to what they've said?

00:17Well, I'm so glad you brought this story up, because in an earnings call, the head of Nike talked about, you're right,

00:24that billion dollar hit to the bottom line because of the extra cost that tariffs will impose on their products.

00:34We see one right there. Here's the crazy thing. Nike shares are up 17 percent today.

00:40So it doesn't look like investors are all that concerned about things.

00:44Nike shares down almost a third over the past 12 months.

00:48We've made up more than half of that in one day.

00:51And here's the reason Nike's outlook just for the next three months wasn't quite as bad as people thought it might be.

00:59Now, because of tariffs and uncertainty, they've done away with giving any guidance beyond the next three months.

01:04A lot of companies have been doing that. But there's an interesting question here.

01:09Nike says come come autumn, they're going to start increasing prices.

01:14Will the American consumers put up with that?

01:16We had some numbers earlier today. Personal income fell, personal spending fell in the month of May.

01:22That's unusual. It shows that the U.S. consumer is at the very least a bit apprehensive.

01:28Now, what Donald Trump wants to do and his team, Howard Lutnick, the Commerce Secretary,

01:33what they want to do is bring these factories back to the U.S.

01:35So, pursu白 and��, welcome to our Bertha site website.

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