Walmart, strong retail sales boost Wall Street2019|01:35
Walmart shares shot up Thursday after the world's largest retailer said sales rose during its most recent quarter, fueled by strong grocery sales and more shoppers visiting stores. Its online shopping division also held up, with sales surging 37% in the second quarter. Fresh off a bad day on Wall Street, Walmart calmed investors worried about the economy slipping into recession. Despite the looming burden of new tariffs, the mega-retailer boosted its outlook for the rest of 2019. In an interview, Walmart's Chief Financial Officer said it has raised prices in response to tariffs but isn't passing all the costs on to consumers. Instead, it's managing by negotiating with suppliers and sourcing from other areas. Walmart is also in a better position that many rivals - according to analysts - since the retailer gets 56 percent of its revenue from food and grocery sales. And it's not just Walmart that helped calm investors nerves on Thursday, overall retail sales also spiked. Data from the Commerce Department out Thursday showed American shoppers increased their spending in July. The upbeat news caused U.S. stocks to stabilize Thursday - with the Dow back in positive territory- just a day after its worst drop since October 2018.