FedEx's $1.11 Billion Trading Volume Surge Lands 118th Despite 11.95% Stock Drop Amid Trump's Tariff Announcement

On April 3, 2025, FedEx's trading volume reached $1.11 billion, marking a 359.18% increase from the previous day. This surge placed FedEx at the 118th position in terms of trading volume for the day. However, the stock price of FedEx (FDX) declined by 11.95%.

FedEx's stock experienced a significant drop due to President Trump's announcement of "reciprocal tariffs" on all US imports, set at a minimum rate of 10%. This move particularly affected companies with heavy exposure to Asia, as the new tariffs threatened the growth and profits of firms with factories in the region. Vietnam, Cambodia, and Indonesia faced tariff rates of 46%, 49%, and 32% respectively, which could significantly erode the competitiveness of goods produced in those regions. Reduced production volumes would negatively affect the sales growth of all companies benefiting from these manufacturing hubs.

FedEx's shares are not typically volatile, with only six moves greater than 5% over the last year. The recent significant drop indicates that the news had a substantial impact on the market's perception of the business. The previous notable move occurred 10 days ago when the stock gained 5.5% following an upgrade from Jefferies analysts, who cited the potential for better-than-assumed earnings growth.

FedEx's stock has declined by 21.3% since the beginning of the year and is currently trading 31.1% below its 52-week high of $313.52 from July 2024. Investors who bought $1,000 worth of FedEx’s shares five years ago would now be looking at an investment worth $1,976.