Consumer Stocks Fall as U.S. Growth Concerns Spread

Papa John’s cut its full-year outlook again and reported lower quarterly sales. The pizza chain said its turnaround was taking longer than expected, while a challenging consumer environment continued to pressure results. Diageo also warned that reviving U.S. sales would take longer than expected, citing soft consumer demand for key spirits brands.

Travel shares came under pressure as oil futures rebounded. Tripadvisor lost more than a quarter of its value after reporting a hefty third-quarter loss and saying top executives would leave in the coming months. Hertz Global’s third-quarter net income declined despite higher revenue, as vehicle-related expenses rose.

Other consumer companies moved in different directions. Kimberly-Clark shares rose after the maker of Huggies diapers and Kleenex tissues reaffirmed its growth forecasts for the year. General Mills is considering separating its Haagen-Dazs ice-cream business outside North America, a step that could lead to a sale. PENN Entertainment returned to profit in the third quarter as casino revenue increased. Wendy’s shares fell after its board rejected an offer from Nelson Peltz’s Trian Fund Management to buy the fast-food chain for around $1.4 billion.

Separately, suspected hoax bomb threats disrupted passenger flights across Europe, grounding and diverting aircraft and prompting jet fighters to be scrambled.