Zoom Video Communications Inc (NASDAQ:ZM) shares are trading lower by 5.7% to $101.87 Wednesday afternoon after CPI data showed worse-than-expected June inflation.
A rise in inflation has caused concerns of a potential recession and more aggressive Federal Reserve policy. Zoom, which sells communications services to enterprises, may suffer in a recessionary environment.
The U.S. Bureau of Labor Statistics (BLS) reported today that the all items index increased 9.1% for the 12 months ending June, the largest 12-month increase since the period ending November 1981. Also, the energy index rose 41.6% over the last year, the largest 12-month increase since the period ending April 1980.
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According to data from Benzinga Pro, Zoom has a 52-week high of $404.35 and a 52-week low of $79.03.
