Starbucks’ shares fell by more than 16pc on Wednesday after a surprise drop in sales sparked a sell-off among investors. More than $15bn (£12bn) was wiped from the coffee chain’s value in response to the trading update, which revealed a fall in earnings as customers shunned more expensive coffee. Sales across Starbucks fell for the first time since 2020 in the three months to March, as chief executive Laxman Narasimhan said customers had been “more exacting” in how they spend their money. Total revenues slid 2pc to $8.56b over the quarter, which was much lower than the $9.13bn that analysts had expected. It marks the latest blow for the coffee chain, which has seen its share price fall by more than a third in the last year. As well as the problem of consumers cutting back amid high living costs, Starbucks has also been hit by a consumer boycott linked to Israel’s war against Hamas. The chain invoked anger after it sued a workers’ union in Iowa for trademark infringement over a social media post that expressed “solidarity with Palestine”. Mr Narasimhan previously claimed that the company had become the victim of “misrepresentation on social media of what we stand...