UPS Sheds Leading Indicator Status

The stock market may view UPS(UPS Quote) as a leading economic indicator, but that's not the way the world's largest package delivery company sees itself.

Twice during last month's earnings call, CFO Scott Davis asserted, "We're not a leading indicator," as analysts questioned the relationship between the economy and UPS' lower-than-expected growth projections.

In fact, UPS has been saying for several years that its relationship to the economy has changed as "inventory has been stripped out of commerce," says spokesman Ken Sternad. It's just that not everybody is listening. ...