With Fewer Shopping Days This Year, Will Gifts Arrive on Time?
The Wall Street Journal listeners. Come from all walks of life and business and no matter what type of business urine eighty P is here to help you achieve what you're working looking for with. HR talent time benefits and payroll informed by data and designed for people learn more at design don ADP DOT com. President trump wants to raise tariffs on Brazil and Argentina. Saying they're manipulating violating their currencies. Put you communists agreed. A winter storm continues up. Ending travel in the northeast and there are fewer holiday shopping days this year. Career gifts arrive on time again. Say Shop early and don't leave anything for the last minute especially if you're shopping online because you're gonNA need a couple of days to get to you. It's Monday December second. This is the PM edition of what's News From The Wall Street Journal. I'm Anne Marie for totally. In New York. A powerful winter storm continues to disrupt holiday travel bringing rain and snow to a large swath of the northeastern United States. The National Weather Service issued a winter winter storm warning for seven states from Maine to Pennsylvania with up to twenty inches of snow expected in some areas. More than sixteen hundred flights were cancelled on Sunday. The busiest travel day of the year. As of this afternoon over six hundred flights were cancelled and there were thousands of significant delays within into or out of the United States. The storm was expected to linger over the East Coast into Tuesday for the latest. Please head to our website W. J. DOT COM president. President trump is defending his administration's decision to skip an impeachment. Hearing this week speaking to reporters on Monday criticized Democrats for holding the Judiciary Committee Mitty hearing on Wednesday when he'll be in the UK for a NATO summit trump also referenced comments by Ukrainian President Vote. Amir's Alinsky in an interview with time and three International for national publications. Celeski told them he had never discussed any quid. Pro Quo with trump. Several witnesses have testified to impeachment. Investigators that they I believe there was a link between freezing nearly four hundred million dollars in. US Aid to Ukraine and investigations. Trump wanted the country to pursue president. Trump's uh-huh reelection campaign says it won't approve press credentials for reporters from Bloomberg News. The move comes after Bloomberg News announced last week that it would no longer investigate any democratic presidential candidates while its owner former New York City mayor Michael Bloomberg is running for president. Bloomberg News said it would continue to investigate trump and his administration administration. It's unclear at this point. What impact the trump campaign's decision to withhold credentials will have without a similar restriction from the White House? Bloomberg News has a permanent imminent seat in the White House. Press Corps Travel Pool Wall Street Journal. Listeners come from all walks talks of life and business and no matter what type of business you're in. ADP is here to help you achieve what you're working for with HR talent time I'm benefits and payroll informed by data and designed for people learn more at design done. Eighty P dot com in an announcement that came as something of a surprise on Monday. President Trump said the US would raise tariffs on steel and aluminum imports from Brazil and Argentina. Trump accused those countries of manipulating their currency. The reality and the peso to devalue them and he said that was bad for. US farmers but economists disagreed with the president's assessment. Our Josh Su Brune explains the currencies of Brazil and Argentina are down. There's no doubt about that if you look over the last year and a half but the reason for it most economists and analysts will say has nothing to do with manipulation. These aren't governments that have been intervening in their currency currency markets in any sort of direct way in fact these are countries that have been pretty battered economically and so their currency is declining because of their weak economy in the case of Argentina. The country's been through a severe currency crisis and the plunge in its currency has been actually a disaster for Argentina not something that's been beneficial to the country at all now. It is true that having a weaker currency helps your farmers a little bit but the main thing that's been helping the farm sector in those countries has been the US China China trade war during the trade war China's stopped purchasing US agriculture to a large extent especially from about a year ago until about three months ago they'd really stop stop doing purchases from the US but they still needed soybeans and other food products. So they were getting them from South America especially Brazil. Brazil has been a big winner of the trade war because all all the stuff the US China now Brazil was selling it to China so there is a connection to to trade and there is a little bit of a connection to a weaker currency but the president's scenario where the weaker exchange rate has been manipulated and bats. The reason for farm exports growing in those countries really doesn't make much sense to most economists listen analysts. The trump administration had granted waivers to Brazil and Argentina from global tariffs of twenty five percent on steel and ten percent on aluminum which which at first imposed in two thousand eighteen Monday's announcement Ronald markets sending. US indexes down for the day. One of the things that was so surprising about this action. Today is that otherwise. The trump administration seemed to be moving toward making a little bit of peace on the trade front. You know they're very close. It seems to getting a deal on the new. US Mexico Canada agreement the US and China are in pretty intense negotiations towards a phase. One trade deal there the. US You know just struck a deal with Japan. They just just finalized in October. So you know there are a lot of signs that things were getting better on the trade front and this action has really unsettled markets by suggesting that the president might still have this urge to you pick trade fights even as he is resolving some of those earlier battles. That's the Wall Street. Journal's Josh Zoom Brune. The White House didn't immediately release details on trump's trump's plan to raise tariffs on imports from Brazil and Argentina. Thanksgiving fell late this year. The latest at possibly could actually on November twenty eighth that means six fewer days to deliver an estimated two billion packages. So we'll we'll delivery companies be able to keep up in a shorter holiday season our palsy. Oh Bro has been talking to some of them and joins me now Paul. When was the last time the holiday a season was this short? And how delivery companies fair back then so you have to go back to two thousand thirteen which is a pretty long time in ECOMMERCE e commerce sales were about half of what they were right now and there were certainly some problems that you're in those twenty six days. I don't know how much of it was due to the short calendar but there were some storms and there was also problems problems at the last minute were shippers just dumped a lot of packages into the ups and Fedex and others networks at the last minute and ups sort of famously wasn't able to handle it that well and there's a lot of lot of Christmas trees without their presence underneath it. Let's say at the end of the at the end of the day. So they shippers had issue a lot of refunds. You know it's kind of a black black eye for the industry there are certainly. They've learned their lessons from that. They've though six years ago and they said six years time to figure out what went wrong and where they have to get better before two thousand nineteen. Were this Athens once again. So this year much different especially in terms of e commerce as you mentioned. It's estimated that delivery companies will oh have to deliver more than two billion packages and we're talking about six fewer days here but you talk to Fedex. UPS USPS and. They're pretty confident they can manage this. So tell us what they've done to prepare a better in the past six years right so first off over the fact six years I think one of the the key things they have is they have just six years of learning to learn what works and what doesn't and what they need to get better at and some things that they've done also is they're just much bigger more armature networks. They've added lots of sorting capacity lots of newer facilities that that sort packages you know with with automated equipment. They've also so started delivering on Sundays and Saturdays largely in many places so that kind of sort of negates the the difference because back then. They weren't delivering on Saturdays and Sundays as much now now. Pretty much. Every Saturday and Sunday there's ups and Fedex trucks and Postal Service employees out there delivering packages. They've also got a lot of new technology that can help them manage manage manage the season. These flows of packages to make sure that they're not sending packages to hubs that are kind of packed and not not able to handle them anymore. So those are some of the smart things are doing. And lastly there I think after twenty thirteen. It was really a reckoning for the industry where they realize they need to work really closely with retailers to manage package volumes and they have to make sure they they stick to it. There can't be any you know unplanned last minute sales Dell's that'll you know 'cause a lot more orders because that really wreaks havoc on the delivery systems and nobody wants to see that happen because you know that was just a really bad outcome for the holiday season back then and what about Amazon which is increasingly delivering more of its own products. Now right so another. Big Change from twenty thirteen Amazon has a very very large delivery network built out one projection. Says they're going to be delivered. Two hundred seventy five million packages which is more than double from last year on their own through their own delivery service partners owners back in two thousand thirteen Amazon. It was kind of a kick in the pants for them to start adding sorting quick adding adding trucks adding delivering drivers and kind of building thing out what ups and Fedex had done for them because they didn't think that those companies had facet available to handle what their future needs would be and so there are at a point where they're really big part of the delivery picture for this holiday season as as ups and Fedex. Postal Service are any final message for for consumers. I think anybody who say shop early. And don't leave anything for the last minute especially if you're shopping online because you're gonNA need a couple days for it to get to you all right Wall Street Journal reporter Palsy Abro joining me here in our studio in New York. Thank you so much Paul. Certainly some things to keep in mind if you're taking advantage of sales on this cyber Monday. That's what's news this afternoon. I'm Anne Marie for totally for the Wall Street Journal. Thanks for listening.