CNBC Is Now Flagrantly Misrepresenting Reality

Tyler Durden's picture

As of 10 minutes ago, Larry Kudlow would like you to believe that Q2 earnings are so much better than Q1. That is a flat out lie. The chart below, straight out of Bloomberg which we demand all readers with a BBERG terminal replicate using SPX Index EA <go>, demonstrates that Q2 earnings are now in fact worse than Q1. While in Q1 the YoY EPS drop was -31.49%, as of right now the drop is -32.41%. And the drop in revenues is much worse.

Larry Kudlow, please put this chart up on your show and advise people you are misrepresenting the truth.

And while Earnings are bad, here is the revenue comparison: the quarterly drop is in fact accelerating!

And here is the projected earnings growth rate over the next two quarters, needed to justify the rosy perspective on the economy: the bottom line: over 110% in projected EPS growth in 6 months. A jobless, revenueless doubling in earnings!

And this is what Larry Kudlow, Wall Street and Corporate America would like you to believe is achievable in order to justify an S&P at 1,000 and billions in Wall Street bonus payments. The Kool Aid is served in the ranch toward the back.

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djchill2's picture

I recieved my Zero Intelligence t-shirt yesterday...this kind of shit from CNBC makes me so proud to wear it...Thx TD

texpat's picture

Me too, though I'm not wearing it until I see a 200 point drop on the Dow.

Altan311's picture

Just got mine too, was surprised by the high quality of the shirt! Better than any of the garbage you could order from CNBCrap.

rigger mortice's picture

nice to see they're priced in sterling over here,although you can see th scale of the kicking cable's taken at first hand

bpj's picture

"When the legend becomes fact, print the legend"

Veteran's picture

My guitar wants to kill your mama

crzyhun's picture

BTW that is a great blues CD/song. Hope you got it.

Danz Gambit's picture

In the land of make-believe, anything is possible.

jimmyt's picture

The further we get from the truth.  The more it looks like a lie. One of the oldest tricks in the book. Jimmyt

Anonymous's picture

There lived a farmer in a remote village. His father asked him to sacrifice a goat. The farmer visited cattle fair and bought a healthy goat. He slung the goat he had bought over his shoulders and headed home. Now there were three thugs trying to befool unsuspecting people. They saw the farmer with the goat slung on his shoulders and thought that this what they were looking for. They hatched a plan to make the farmer part with the goat. They decided to meet the farmer separately at three different places as he headed back home. When the farmer came to a lonely spot, one of the thugs came over and asked the farmer "Sir, why are you carrying a dog on your shoulders!" The farmer was flummoxed. He angrily said "Can’t you see it is a goat and not a dog?"

The thug said "I am sorry but I told you what I saw.” The farmer kept on walking on his way home. Soon he met the second thug who said, “Sir, why are you carrying a dead calf on your shoulders?” The farmer was taken aback. He yelled back "How can you mistake a living goat for a dead calf?" The thug replied "you are making a great mistake. I just told you what I have seen” and moved on. He had hardly gone a little further when he came across the third thug who told the farmer, "Sir, why are you carrying a donkey on your shoulders?” and began laughing. The farmer thought all these three people could not be wrong. He thought that the goat, which he was carrying, might not be a goat, but rather a ghost since it kept on changing from a goat to a dog, from a dog to a dead calf and then into a donkey. He was so afraid that he began to tremble and threw the goat on to the roadside and took to his heels. This was what the thugs were waiting for. They caught the goat and had a sumptuous feast.

DebtorShredder's picture

The headline should read:

CNBC Is Now Flagrantly Perverting Reality
deadhead's picture

CNBC  Has Been Flagrantly Misrepresenting Reality

Danz Gambit's picture

hey deadhead  -  since its a slow news day :-) , I've been meaning to ask you

how many Dead shows did you see? I'm fairly certain I was at 30, and it may have been over 50 (memories from 1976-1986 are still pretty fuzzy) lol

"It was the best of times, it was the worst of times, it was the age of wisdom, it was the age of foolishness .."

deadhead's picture

hey now danz...probably around 30 in the early 70s to late 79/80.  actually, i started appreciating their music more as i have grown older (mid 50s).  I go to lots of ratdog shows, have become well acquainted with weir through a friend of mine who plays guitar with him.  weir's a nice guy, always enjoy chatting with him.  i did see the dead at the obama thing at penn state but chose not to go to their shows on the recently concluded tour.  thanks for asking.

"sometimes you get shown the light in the strangest of places if you look at it right"

Anonymous's picture

"the sky was yellow, and the sun was blue"

deadhead's picture

so nice to see all the deadies coming out of the woodwork....there is a LOT of grey hair at ratdog concerts, i'll tell you that!

Anonymous's picture

High on the mountain, what do you see?
Bear tracks, bear tracks, looking back at me
You'd better get your rifles boys before it's too late
The bear's got a little pig and headed through the gate

Anonymous's picture

Awsome, will put this one my profile.

Long live the BEAR....

Anonymous's picture

"the rain is going to come, oh it surely looks like rain..."

OrganicGeorge's picture

Why are you shocked?

When has CNBC ever been truthful?

Same as it ever was.

 

 

mdtrader's picture

20 years of CNBC, 12 years of zero return on stocks. Coincidence?

Anonymous's picture

same as it ever was? hmmmmm

talking heads....

http://www.youtube.com/watch?v=Kw54-rCIrPs

Miles Kendig's picture

Facts?  who wants or needs facts at CNBC or its parent when they can determine what the truth is.....

Market prices = consumer confidence = recovery from this ahemm liquidity and confidence scare.  That is the only truth that matters to CNBC, those that developed this message and deployed this PSYOP and its adherents.

Speaking for myself and for some of us who still value facts, debate and discussion, thanks again ZH!

Anonymous's picture

xTrends is about to be over.

The last portfolio value on Sol's account was $3.9m

The current loss just on FAZ, ES and NQ is now around $3.7m, so it excluses the options (all of the OTM if I am not mistaken).

Goodbye xTrends: looks like after banning just about anyone Sol and Atilla are the ones to get banned in the end...by their brokers.

Mako's picture

Why do you guys continue to watch that crap?

 

The system will collapse for failure to expand at the required exponential rate and there isn't anything anything Beeker or Kuturd is going to do to change that.

D.O.D.'s picture

ok, maybe slightly off topic, but not much... why do we watch it... well Bloomberg can be a bit dry to be honest.

I usually refrain from ad hominem attacks, but I just can't resist this time, I just saw Tit's Cabrera shaking her stuff then turned staring blissfully into the camera smiling for at lest 90 seconds, just a deer in the headlights... good stuff... and it's all finally just making me laugh, anyone who get's burned by believing these guys, at this point, deserves it.

Anal_yst's picture

Sex sells Taj, sex sells...write that down.

kote's picture

But... we had mostly positive surprises!  Analysts are obviously more important to the overall economy than silly things like earnings and revenues.  Just ask GE.  Hell, the entire market is up on an analyst upgrade of GE today.

Gigantor's picture

And don't forget, on the CNBC website there is a great article about from an "Analyst" that says GE's stock could 'double' in 3 years!

 

BUY BUY BUY.

 

 

 

KawKaw's picture

Can anyone explain why people buy into this...Let's set earnings expectations at zero and then when earnings come in at anything better than that, Whoo hoo, SURPRISE!

I'm also still under the impression that Santelli, Haynes, and Faber are still honest!  True or False?

 

Anonymous's picture

Well, what Sanetelli and Faber say usually makes sense, so yes. I don't keep up with Haynes.

Anonymous's picture

It could go up by 1000x, priced in dollars

silencedogood's picture

Yes...add that the 10 yr yield is at 3.7 and rising, OIL is popping, Dollar down a bit, stocks rocketing on WORSE unemployment news (not better as the Communist News Broadcasting Circus says!). Ok.  We have consumers getting hurt by folks losing federal unemployment benefits and rolling on the state extended rolls (CNBC refuses to report...I have asked them too...no response amazingly!), folks LOSING benefits completely as they use them up, higher gas now and no jobs.  Did I mention Consumer Sentiment is also down?  I wonder why.   The consumer is in hard defensive mode.  I make damn good money and even I have cut back as I am concerned about the long term outlook.  I am dramtically increasing my emergency Oh Shit fund and moving most investments into income or treasury funds.  I consider this a BLOW OFF TOP and am looking for it to crash.  With earnings so dramtically lower and the consumer NOT buying...HOW CAN GDP BE POSITIVE?  Could someone please explain that?  I am expecting GDP to be -3% or greater in loss.  Does anyone think we will be higher/lower?  If so...why?

-Silence Dogood

Cindy_Dies_In_The_End's picture

No doubt when crime rates rocket exponentially as desperate people act out, CNBC will see that as a "green shoot".

 

GAWD just saying that phrase makes me want to gag.

Miles Kendig's picture

In Richmond and Vallejo CA the police do not have the capacity to investigate crimes against property.  they just take the report.

e1even1's picture

here in sacramento they dont have the money to prosecute any misdemeanors. may just be a california phenom?

Anonymous's picture

They'll just claim the Broken Window Fallacy to be proven fact.

e1even1's picture

a couple friends are small independent retailers. shoplifting has more than doubled in the last 2 years. they say that they could profile most of it before. not now.

Anonymous's picture

be very careful with the gdp figures....i have
read -1.x% contraction but the tarp funds and
other bailout moneies are going to be counted
in gdp as special line-items....you know that
krudblow will use the doctored numbers as his
talking point....

if corp profits are down 32% on revenue declines
then -3% is more likely with -6-9% closer to the
truth.....

if people were smart and used gnp (rather than
gdp) they would have seem economic implosion
back in the 1990s and understood the dot com
phenomenon better.....fuck msnbs, krudblow,
bernanke, bush, odumbo, geithner, greedscam,
rockefeller, all pos CONgress crooks,
and every lying sack of shit bankster in america
and the world.....

Anonymous's picture

i think you meant to say "the bud lite is served in the wing to the west".

Anonymous's picture

these charts are reported EPS with no adjustments for writedowns etc, correct? isnt the upcoming bounce a result of horrific bank writedowns in Q408? granted, the spike has got to be significantly overestimated, but i would certainly not be surprised by a positive number.

Miles Kendig's picture

Anyone can show a profit if enough expenses are excluded.

Anonymous's picture

I bought FAZ at 33.90 today. This market is coming down faster than a meteorite one of the next few days or maybe after 7 year auction today.

deadhead's picture

bgz here at 27.07...that one might be a "buy and HOLD"

Anonymous's picture

do not hold the levered etf's, they are day trading vehicles only!

Anonymous's picture

Can you tell one non levered etf to buy and hold.

Anonymous's picture

MISLEADING AGAIN FROM ZH

- What about the surprise +9.5% -- oh, no ZH will never show that column !!!!!!!!!!!!!!!!!!!!!!!!!11111