Walmart cuts full-year profit forecast as fuel, labour costs spike

Walmart Inc cut its full-year profit forecast on Tuesday, signaling a bigger knock to the retail giant's profit margins from surging costs of everything from fuel to labour.

Shares tumbled 6.5% to $138.51 in premarket trading, dragging down those of rival retailers including Target Corp .

Walmart has fared better than most rivals in maintaining inventory levels due to its massive scale and negotiating power with suppliers, but costs have soared as it expedited shipments and chartered cargo ships to get products on shelves.

Inventories jumped 32% to $61.2 billion in the first quarter, exacerbated in part by fewer purchases