In an update overnight, Walmart said it now expects full-year profits to fall by as much as 13%. The announcement sparked a 10% slump in the retail giant’s stock market value in after-hours trade and dragged down shares in rivals Amazon and Target. 

When Walmart warned on profits for the first time in May, it said it expected full-year profits to fall just 1% by year’s end. 

“The increasing levels of food and fuel inflation are affecting how customers spend,” its chief executive Doug McMillon said in a statement on Monday.