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The Latest Flashing Red Light: Global Earnings Plunge Most Since Lehman
We will leave it to the chartists to provide an appropriate name for the formation shown below (mutation unchallenged head and shoulders?) but one that is obvious is that global stocks as measured by the MSCI world index have never been higher, and the global central bank bubbe has now easily surpassed both the dot com bubble and the first housing/credit bubble.
But why the surge? We will leave that one to the economists, but we will observe that as BofA comments, "global equity 12-month forward EPS has turned negative on a YoY basis (-6.7%)."
In fact, as the chart below shows, global forward EPS is now plunging at the fastest rate since Lehman, and is down to levels last seen in 2011.
Incidentally, this shoudl not come as a surprise to those who recall our
article that in the most recent period, the "Global Dollar Economy
Suffers Biggest Plunge Since Lehman, Down $4 Trillion." It only makes sense that as global GDP denominated in the reserve currency tumbles, it will drag global Earnings with it as well.
BofA also says what everyone knows, that "investor submission to central bank policies of financial repression is visible" but warns that "equity gains will likely be restrained unless EPS accelerates."
It goes without saying, that EPS is not accelerating, and yet today global equities are soaring to fresh all time highs. All we can add here is "Good luck global central banks" as you try to figure out a way to unwind the biggest asset bubble in history without crushing everyone and everything in process.
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LOL!!! ....yes, yes, and if there was an actual market for true price discovery it would matter, now move alone...
globally bullish
We need to crank up the share buy-back machine even further. We can't change the E in EPS, but we can sure change the number of shares outstanding.
If you read the chart from right to left, it looks like the onset of a flatline.
So a chart name could be inverse flatline onset.
Odd,... the markets are flashing green...
Oh, wait, we don't have markets anymore... only illusions of markets. Carry on. It's what the Kardashians expect of you.
Exactly what I was thinking ND, time for more QE.....
Print up the NASDAQ 6k hats!!!
10K. i shit you not.
Come on guys.. you all know it's just more NOISE... just buy stock..do some Coke... get a Hooker.. Life is Good! thank you president obama!
If I get an Italian hooker and Italian blow, does it count for here AND in Italy?
Shit...Buy everything today (BULLISH LIKE A MUTHAFUGGA)
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Airgas had its report out yesterday..and their sales are going down fast...and that is all used in manufacturing....
"The Most Since Lehman".
Stop infringing on my TrademarkTM.
where do we mail the royalty check?
MSL!
Why waste effort typing it all out?
are you now trying to Trademark "Trademark" ?
BTFD until WWIII.
and then buy a Kevlar helmet...
I got my $15 oil bid cuz Gartman says. Fuck if he's right I will laugh my a$$ off.
The world economy is about to take another swan-dive as the central banksters are well aware.
That is why nearly every central bank is doing some type of QE program to drive their domestic currency lower and asset markets higher.
This is the end game. If this doesn't work, the banksters will have no other alternative but to start a massive world war.
Already happening.
NONE of this means a goddamn thing. When 3/4 of the world's CB's have it floored distortions like this will ultimately have little bearing on the wider economy, particularly when you can count on Old Yeller to bail you out when your fucking ass goes boom....
Yellen is still not taking my phone calls.
She's baking cookies... Like I said before, do you want chocolate chip, macadamia nut, or oatmeal?
Word on the street is that Nuland's cookies are tastier.
Funny...whenever I think of Vickie Nudelman, I can't help but hear, "Hi, Bobbi Flekman, Polymah Rekkids!"
https://www.youtube.com/watch?v=dcppx0COnQM
MAVERICK WE ARE GOING VERTICAL. ROGER THAT
MOAR ALL THE THINGS.
"global equity 12-month forward EPS has turned negative on a YoY basis (-6.7%)."
hhmm, maybe its just me
but doesn't sound too bullish for capex and employment ...
okay but what about the 12 months after that? Surely a hockey stick global earnings growth of 11% I would think. So everyone stay in their seats.
Bullish !!
last 2 US recessions
march 2001 to november 2001
december 2007 to june 2009
6 years 1 month between
current "recovery" 5 years 9 months
tick tock tick tock tick tock
Right, now what happend to the debt outstanding after each of your "cycles"?
So, after the next recession the yield on the ten year is going negative? Oh, do tell, do tell...
Barely eclipsing prior bubbles is not surreal enough for a happy ending. When it arrives at a point that is so laughable that you really begin to question yourself, then you'll know we're just about there.
It's all good!
"There's never been a better time then now to ...."
It's so Robust it brings tears to my eyes.
Australia expected to sign up to China-backed bank on Monday
http://www.reuters.com/article/2015/03/20/asia-aiib-australia-idUSL3N0WM...
we don't need no steenking earnings!
WE'RE GOING TO NEED BIGGER HELICOPTERS!
At least this time they got the stock market off of the free entertprise/capitalist system. BTFD Its Software Stupid (ISS)
At least all the homeless camps that will spring up will have cheap kerosene for their heaters.
If you don't think that the remarkable, accelerating dissonance between the performance of real world markets and major stock market indices is an important signal, think again.
More to the point, buckle up.
Earnings confessionals please.
You remember what those are. When companies adjust their quarter ending guidance.
Rocketing USD crushes revenue and earnings.
Fix this one yellen you piece of shit!!!
We will leave it to the chartists to provide an appropriate name for the formation shown below (mutation unchallenged head and shoulders?)
WTF?
"ZH Headline Overuse Of 'Plunge Most Since Lehman' Surges Most Since Lehman"
why, that's that famous tsunami pattern ...
No worries, barack the magic negro has us covered
The 2000 peak was either a [1] or [3], the 2009 low a [2] 0r [4]. We are either at [3] or (1) of [3]. I prefer the latter. Either way, there is a massive correction on the way.
$799 is the new normal for a well built .308 AR15.
Hard to post earnings with firesales like that.
Come on, is it not time for some more banker suicides? By nail gun? Please, pretty please?
There hasnt been a single down $TICK since the open, not even close.
FUCK YOU FUCKERS!
There is no spoon, Neo.
I know kung fu.
You've probably read all sorts of theories that seek to explain the causes of the 'new cold war' in which we find ourselves. From the embarrassingly simplistic "Putin's a Hitler" offered by the Western press to the more nuanced idea of an 'energy war' between US-Europe-Russia. The truth about why we are where we are right now, as a species, however, is actually fairly simple. But to understand it you'll have to ditch the idea of a 'new cold war' and replace it with 'the 120-year-old war that never ended'.
If you like your history condensed and relevant to current events, then read on.
http://www.sott.net/article/294157-The-Rise-of-Russia-and-the-End-of-the-World#comment126986