Wal-Mart, retailers hammered on Amazon-Whole Foods deal
New York (AFP)
Leading retailers that sell groceries, including Wal-Mart Stores, fell sharply Friday, pressuring the broader market, following Amazon's announcement it will acquire Whole Foods Market.
Amazon's deal to buy the upscale US grocery chain for $13.7 billion throttled the broader retail sector on concerns the online retail giant will create an even tougher environment for grocers.
About 25 minutes into trading, Whole Foods surged 27.1 percent, while Amazon jumped 3.0 percent.
But Wal-Mart slumped 5.5 percent, Target plunged 9.3 percent, Costco Wholesale fell 7.3 percent and Kroger 13.6 percent.
The Dow Jones Industrial Average fell 0.1 percent to 21,336.92.
The broad-based S&P 500 dropped 0.2 percent to 2,428.28, while the tech-rich Nasdaq Composite Index lost 0.1 percent to 6,158.31.
© 2017 AFP