Shares of Detroit Three briefly hit as US workers' strike raises profit worries By Reuters

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Shares of Detroit Three briefly hit as US workers' strike raises profit worries By Reuters
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Shares of Detroit Three briefly hit as US workers' strike raises profit worries

) and their suppliers on Friday on worries that the labor action at the factories that make some of the most profitable vehicles could hurt earnings.

"Despite the noise around the strike ... Ford appears closest to getting a deal done in terms of procedure and numbers, GM may not be too far behind, but Stellantis has a long way to go," BofA analysts said. "Holding all-else constant , a Wentzville strike through September would negatively impact our GM Q3 estimated EBIT by roughly 2% and Q4 by about 13%," Citi analyst Itay Michaeli wrote in a note.

The standoff has also become a political issue, with President Joe Biden, facing re-election next year, calling for a deal.

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