In similar fashion to many retailers, discount warehouse titan Costco (Nasdaq:COST) cut prices to move product in its most recent quarter. The fact that a discount chain felt the need to be more promotional speaks to just how difficult the operating environment is these days. Falling gasoline prices also took a bite out of margins this quarter, while a strong U.S. dollar crimped overseas results. Fortunately for investors, these challenges will prove to be short-lived, with the wild card being how quickly or slowly consumers open up their wallets again.
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