PayPal Holdings Inc PYPL shares are trading lower by 2% to $53.72 Friday morning, marking a new 52-week low. Friday's weakness comes amid a lack of company-specific news. The stock may be falling in sympathy with major indicies and amid ongoing concerns of rising inflation.
September's Consumer Price Index (CPI) showed a higher-than-expected year-on-year increase of 3.7%, although the core CPI matched predictions.
Why Inflation Matters To PayPal
Increasing inflation can weaken consumer purchasing power, potentially causing reduced spending as people anticipate higher prices. This can impact PayPal's transaction volumes and revenue.
Additionally, rising inflation can attract more competitors to the financial sector, affecting PayPal's market share and profitability as more companies offer payment services and financial products.
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According to data from Benzinga Pro, PayPal has a 52-week high of $92.62 and a 52-week low of $53.44.
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