Who would have thought that a warning from one of the biggest transport stocks would send its own stock up over 2%. Now is that something else or what. Imagine if they raised guidance, the stock would have easily closed above $100 a share and lifted the overall market at least 2%. FedEx Corporation Common Stock (NYSE: FDX ) After Hours: 96.03 Up 0.05 (0.05%) 7:11PM EST Last Trade: 95.98 Trade Time: 4:00PM EST Change: Up 1.99 (2.12%) Prev Close: 93.99 Open: 95.01 Day's Range: 94.89 - 96.70 52wk Range: 69.78 - 97.75 Volume: 5,404,283 Avg Vol (3m): 2,426,810 Market Cap: 30.33B FedEx Cuts Forecast, Citing Fuel and Weather By THE ASSOCIATED PRESS Published: February 14, 2011 FedEx on Monday sharply cut its quarterly profit forecast, citing higher fuel costs and severe winter weather that disrupted delivery operations in the United States and Europe. Add to Portfolio The delivery company now expects an adjusted profit of 70 to 90 cents a share for its fiscal third quarter, which ends Feb. 28. That is down from its earlier forecast for a profit of 95 cents to $1.15 a share. Analysts surveyed by FactSet expect FedEx to post a profit of $1.06 a share, on average. The companyâs updated forecast assumes no further weather disruptions and stable fuel prices for the rest of the quarter. FedEx, based in Memphis, said those factors would also affect its full-year forecast, to be updated when the company reports third-quarter numbers on March 17. FedEx has faced unusually high costs from winter storms, said Alan B. Graf Jr., its chief financial officer. Parts of the Northeast and Midwest have been hit by unusually heavy snow this winter, disrupting airport operations and ground travel. Ice and snow have hit areas as far south as Georgia and Texas. Mr. Graf also said that fuel costs continued to rise since the company provided a financial forecast in mid-December. Jet fuel prices are up about 13 percent since then. However, Mr. Graf said FedEx continued to experience strength in its business across all transportation segments and geographic regions. The company and its larger rival, United Parcel Service, are bellwethers of global economic health because they ship a variety of goods. In its previous quarter, which ended in November, FedEx reported net income of $283 million, or 89 cents a share, down 18 percent from the same quarter a year earlier. The company said higher fuel costs were among the factors that hurt results.