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The Chart That Shows Why EU's Barroso Is A Liar

Tyler Durden's picture





 

Despite record levels of unemployment across Europe (most specifically among the youth), record high (and surging) levels of loan delinquencies, and collapsing credit creation, the leaders of the EU continue to peddle their own brand of dis-information and willful blindness. While UKIP's Nigel Farage tongue-lashings are normally enough, EU's Barroso this morning unleashed the following:

  • *EU'S BARROSO SAYS ECONOMIC GROWTH 'SLOWLY RETURNING'
  • *EU'S BARROSO SAYS EU AT TURNING POINT IN CRISIS

However, as the following chart of earnings estimated for European firms shows, there is absolutely none, zero, nada sign on a 'turning point' and, as we have noted previously, unless the EUR weakens significantly, Europe will rapidly dip back into re-re-recession once again.

Via Goldman Sachs:

While being a strong year for equity returns, 2013 has been poor on the earnings side. Consensus now expects 2013 earnings to shrink by 3.5% and the level of earnings has been revised down by close to 15% YTD. Looking at actual earnings rather than consensus expectations, with the exception of the second quarter of 2013, earnings seasons have been poor through 2013.

Spot the "Turning point" in that chart...

and still think the collapse in EM is not a problem... (Companies exposed to emerging markets saw markedly more negative sales surprise than the overall market. 39 companies from our EM exposure basket reported sales in 3Q. Out of these 39 companies, 25 missed estimates by more than 2% while only 2 beat estimates by more than 2%.)

Unless the EUR weakens significantly, Europe's major export growth markets will continue to weigh the region back into recession.

The strength of the Euro, notably against EM currencies was frequently mentioned in 3Q by companies missing estimates.

 

Of course, Barroso's lies should not be a total surprise from Europe (as we noted here) and of course the final admission of guilt by Jean-Claude Juncker:

Asked whether such deliberate misinformation would undermine the market’s confidence in future euro-zone pronouncements, Mr. Schuller, lamenting that the market had practically no confidence in pronouncements already, said “not at all.”

 

When Mr. Juncker, or European Central Bank President Jean-Claude Trichet, or French Finance Minister Christine Lagarde says something to the markets, Mr. Schuller said, “nobody seems to believe it.”

 

Mr. Juncker has voiced support for the practice of lying before.

 

The Web site EUobserver has video of Mr. Juncker, at a conference on economic governance in April, expounding on the practice and reasons for lying in financial and economic communications.

 

On the tape, Mr. Juncker says he has “had to lie” and, speaking about touchy economic topics, “When it becomes serious, you have to lie.

 


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Mon, 01/20/2014 - 13:49 | Link to Comment hedgeless_horseman
hedgeless_horseman's picture

 

 

Unless the EUR weakens significantly, Europe's major export growth
markets will continue to weigh the region back into recession.

Those analysts that revised down earnings estimates do not understand the political capital invested in Europe.  They vastly underestimate what the Euro means for the Europeans, for the Euro area.

Mon, 01/20/2014 - 14:02 | Link to Comment TruthInSunshine
TruthInSunshine's picture

They ALL lie...it's essential to keeping the Pyramid Scheme propped up...

http://www.zerohedge.com/news/2012-11-30/guest-post-lets-have-depression...

Mon, 01/20/2014 - 14:15 | Link to Comment AlaricBalth
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Close to six in ten Europeans feel that they are citizens of the EU (59%, -3% since spring 2013). Conversely, four in ten do not feel they are citizens of the EU (40%, +3). This combination of a 3-point decrease in the feeling of being a citizen of the EU, combined with a 3-point increase in the opposite opinion, is the strongest evolution registered since spring 2010.

http://ec.europa.eu/public_opinion/archives/eb/eb80/eb80_first_en.pdf

In 23 EU Member States, outright majorities of respondents feel that they are citizens of the EU: the highest proportions are reached in Luxembourg (85%), Malta (74%), Germany (73%), and Finland (73%). The exceptions are Greece (42%), the UK (42%), Italy (45%), Cyprus (46%) and Bulgaria, where respondents are almost perfectly divided (49%, vs. 50% who do not feel they are EU citizens). After a 7-point decrease, Italy now belongs to the group of countries where a majority of the population does not feel they are EU citizens. 

Support for the euro has remained almost stable, with more than half of Europeans in favour (52% for, 48% against).

Mon, 01/20/2014 - 14:45 | Link to Comment andrewp111
andrewp111's picture

I am surprised the numbers for Greece and the UK are that high.  42% is high for a State that has been through all that Greece has, and is very high for a country that still has its own currency. It just shows how effective EU propaganda has been.

Mon, 01/20/2014 - 17:32 | Link to Comment LeisureSmith
LeisureSmith's picture

In that same survey the only country (and by a slim margin) to come out as positive to "my voice counts in the EU" is Denmark at 57% "total agree" In every other country the majority is negative, Cyprus and Greece at 87% "total disagree".And when asked about the situation of each national economy, 13 countrys answered above 80% "total bad" with Greece at 98%.

I don't need a chart to tell me that Barroso is a lying peice of shit thank you very much, and as far as bad ideas go, the EU is of the charts but they sure can spend big money on public relations.

Mon, 01/20/2014 - 15:03 | Link to Comment smacker
smacker's picture

All those figures tell us is that millions of European citizens prefer the evil EU slimeballs rather than their own national slimeballs.

Quite a few in Britain think that too.

But none of it can be seen as an endorsement of the EU system of unelected lying slimeballs like Barroso.

Therein lies the problem across Europe: we are being governed by liars and criminal slimeballs.

It really is long overdue to have a clear out. This cannot be done thru negotiation.

Mon, 01/20/2014 - 15:07 | Link to Comment Occident Mortal
Occident Mortal's picture

The EU should scrap the euro and adopt Sterling.

Mon, 01/20/2014 - 15:12 | Link to Comment Ourrulersknowbest
Ourrulersknowbest's picture

I just read this euro area survey.
Either the respondents were drunk or most of those surveyed were:
A ----on the dole
B-----brain dead public servants
C-----combination of A or B and drunk.
I don't feel very European right now.we are ruled from a distance by self serving treacherous scum.
Viva revolocion (if the sheep can get off their collective asses)

Mon, 01/20/2014 - 19:15 | Link to Comment TrustbutVerify
TrustbutVerify's picture

Ourrulers...Great point.  How many of thise surveyed are for one reason or another getting some of that good old government cash (monetary heroin)?  

Mon, 01/20/2014 - 14:15 | Link to Comment kridkrid
kridkrid's picture

That was a great post. Interesting that it was 14 months ago and that many of us here have been saying the same thing since at least 2008. Someday this war is going to end…

Mon, 01/20/2014 - 21:52 | Link to Comment Private Parts
Private Parts's picture

Vote Europe in May! Run the ship into the ground. The faster the better.

Mon, 01/20/2014 - 14:37 | Link to Comment williambanzai7
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Mon, 01/20/2014 - 14:35 | Link to Comment Fuh Querada
Fuh Querada's picture

@HH
"they vastly underestimate what the Euro means for the Europeans, for the Euro area."

Correction:
"...what the Euro means for the European political, corporate and financial elites.."

the normal European citizens can swallow what the EuSSR politbureau in Brussels cooks up for them , or go fuck themselves.

Mon, 01/20/2014 - 19:36 | Link to Comment BringOnTheAsteroid
BringOnTheAsteroid's picture

"They vastly underestimate what the Euro means for the Europeans, for the Euro area".

What, massive unemployment? Loss of their borders? Loss of their sovereignty? Unpayable debts? Influx of low socio-economic refugees?

This is one of those lines that is repeated over and over again as the ship sinks and the last thing to pierce the surface of the water is a pair of lips grasping at the remaining air stating "but you simply underestimate what the Euro means for Eurpoeans".

Humans will not let go a failed idea when they have personal intellectual capital invested in it. 

Mon, 01/20/2014 - 13:54 | Link to Comment no more banksters
no more banksters's picture

"The dogmatic adherence on these destructive policies, shows that the real goal is to impose certain conditions in favor of a dominant economic oligarchy."

http://failedevolution.blogspot.gr/2013/04/a-scenario-nightmare-for-futu...

Mon, 01/20/2014 - 13:55 | Link to Comment Racer
Racer's picture

As long as companies beat 'expections' which are constantly revised lower, it matters not if they have no "earnings"

Mon, 01/20/2014 - 13:58 | Link to Comment SAT 800
SAT 800's picture

Almost on the same wavelength; I got a chuckle this AM from an item on Marketwatch. Great Britain, which once supplied the world with railroads and power plants and Diesel Engines, just signed a deal with China to export Pig Semen; so apparently they do have an export to support their overpriced Pound Sterling.

Mon, 01/20/2014 - 22:08 | Link to Comment TheReplacement
TheReplacement's picture

Who'd a thunk that buying pig semen would be so much more prestigous than selling it.

Mon, 01/20/2014 - 14:04 | Link to Comment JustObserving
JustObserving's picture
EU's Barroso Is A Liar

Why such impossibly high standard for European politicians when ours can lie, drone children and wedding parties, almost start a major war with Syria based on lies that could have killed hundreds of thousands, and rape the privacy of everyone on this planet everyday and defend it?

Barroso is far too ethical to be elected POTUS.

 

Mon, 01/20/2014 - 14:07 | Link to Comment kridkrid
kridkrid's picture

Well when you put it that way…

Mon, 01/20/2014 - 22:08 | Link to Comment TheReplacement
TheReplacement's picture

At least we aren't actually France, which is nice.

Mon, 01/20/2014 - 14:04 | Link to Comment Make_Mine_A_Double
Make_Mine_A_Double's picture

Interesting indicator in that the EU just chucked their Green BS Climate goals.

Even more eyebrow raising was their back handed endorsement of Fracking.

When they start throwing the skittle shitting Unicorns overboard they must be in deep merde.

Mon, 01/20/2014 - 14:09 | Link to Comment Charles Wilson
Charles Wilson's picture

First you take the graph and hold it up to the sunlight.  Then you squint a bit as you tilt your head to the left and...

THERE IT IS!  Recovery!

Clear as... Clear as...

 

Never Mind.

Mon, 01/20/2014 - 14:13 | Link to Comment Rising Sun
Rising Sun's picture

Barraso's mother douches with drano!!!!

Mon, 01/20/2014 - 14:17 | Link to Comment frankTHE COIN
frankTHE COIN's picture

" His lips are moving, but I can't hear what he's saying."

Mon, 01/20/2014 - 14:17 | Link to Comment Sudden Debt
Sudden Debt's picture

At least he didn't come cheap.... I guess...

Mon, 01/20/2014 - 14:19 | Link to Comment disabledvet
disabledvet's picture

One problem I see is the breathtaking "withdrawal" of Federal stimulus. No Syria, no ACA, rapid wind down of QE. The only major "program" that remains are purely military. Good luck figuring out that Rubik's cube. There is the possibility of a free trade agreement between Europe and the US...but if these prices start to really fall here that odds of that happening are right up there with "recovery."

Mon, 01/20/2014 - 14:23 | Link to Comment BrigstockBoy
BrigstockBoy's picture

Nigel Farage has shown the light on the unelected Barroso endlessly (as ZH has pointed out). The EU is more of a scam than the US, and that's saying something...

Mon, 01/20/2014 - 14:24 | Link to Comment holgerdanske
holgerdanske's picture

Barrosso et al are unpleasant, self aggrandizing, self important narcissistic blown up third rank human beings. They are also in charge (they think) ! and since they are appointed, and not elected, the only way to remove them is by use of force. Think about it, they sit there untill we remove them.

Talking has been tried and found wanting, elections are never on the card and the hole of the EU is a scam from one end to the other.

How on earth did we let ourselves be sold down the river like this???

Mon, 01/20/2014 - 18:53 | Link to Comment MeelionDollerBogus
MeelionDollerBogus's picture

got a credit card?
Mortgage?
Ever vote?
That's how.

Mon, 01/20/2014 - 20:11 | Link to Comment Acet
Acet's picture

The only decent bit of the EU political system is the European Parliement (which, by the way, is elected directly by EU citizens via proportional vote).

Both the unelected Comission (which Barroso presides) and the Council of Ministers (who indeed are elected in their own countries but then try to sneak in unpopular laws via the EU) are just ways to reduce the power of only true representatives of all EU citizens.

Tue, 01/21/2014 - 03:51 | Link to Comment Ghordius
Ghordius's picture

"try to sneak in unpopular laws via the EU" - exactly. yet this is the way it's designed. and it works. only the Council can commission EU directives, i.e. order the Commission to draft them. lots of (elected) national parliaments do scrutiny those drafts - just thinking about the Danish parliament, which is strongly interested - and tell their appointed ministers in clear terms what they expect

when the commission has done the draft, it's again a Council vote. nothing hinders national parliaments to order them what to vote, then with the only exception of France and Romania, the national governments are too appointed by the national parliaments, an expression of their will

only after the Council approved, it's finally voted in the EU parliament, the second goalkeeper

it's a confederate setup. as all political setups based on democratic principles, it needs some interest and engagement from the electors and the elected representatives

give too much power to the EU parliament - including the right to propose - and it stops being a confederate setup, and the national parliaments stop being senior to the EU parliament

Mon, 01/20/2014 - 14:29 | Link to Comment PontifexMaximus
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No worry, Mario is doing God's work, we do not need JB!

Mon, 01/20/2014 - 14:33 | Link to Comment swedish etrade baby
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Even if you hit the apex you can still crash:)

Mon, 01/20/2014 - 14:55 | Link to Comment ArrestBobRubin
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The US has its traitorous bankster pets, the EU has theirs.

Mon, 01/20/2014 - 15:15 | Link to Comment _ConanTheLibert...
_ConanTheLibertarian_'s picture

Of course he's a liar. He's a politician. Duh!

Mon, 01/20/2014 - 15:43 | Link to Comment adonisdemilo
adonisdemilo's picture

The last proven fascist in Europe ended up (literally) on a lamp post.

This bunch, who also think they can be Kings, need to take note.

Mon, 01/20/2014 - 17:57 | Link to Comment Peter Pan
Peter Pan's picture

The hanging of that fascist and perhaps some other current European politicians is small comfort for the many millions that have already suicided or lost homes, jobs and their future and the hopes that come with it.

Mon, 01/20/2014 - 15:52 | Link to Comment Calculus99
Calculus99's picture

Barrosso - Lie -  Pope - Catholic

 

Mon, 01/20/2014 - 17:18 | Link to Comment Peter Pan
Peter Pan's picture

You hear a lie and you are angered. But when they are ongoing you then become insulted and then irritated and then comes the day when you hear them and you recognize them as lies but they no longer create that initial revulsion. And all seems lost at that point as you see a resigned indifference in your fellow man to all these lies. But perhaps, just perhaps there comes a moment when somewhere near the bottom something blows up within you and you become angrier than ever when you see the loss of your home, your job, your dignity as these liars are exposed for how they lived the high life and profited from the malaise of others.

Mon, 01/20/2014 - 18:51 | Link to Comment MeelionDollerBogus
MeelionDollerBogus's picture

http://www.infiniteunknown.net/wp-content/uploads/2011/06/Herman-Van-Rompuy-and-Jos%C3%A9-Manuel-Barroso.jpg

These fine gents look perfectly trustworthy! ... as minions of Satan.

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