click for updated futures


With just over half of S&P500 companies have reported, with both revenues and profits negative, according to Bloomberg. Earnings are front and center, sentiment mostly negative, revenue and profits under pressure. High profile misses from Apple and Amazon on profits last night.

In Asia, markets are lower on a no news session. In Europe, as Spanish unemployment breaks 25%. Crude Oil and Gold continue lower, suggesting future demand weakness.

The big release today is GDP, but we also will get Personal Consumption, Core PCE, U. Michigan Confidence. The earnings parade continues, with lots of major releases.

Category: Markets

Please use the comments to demonstrate your own ignorance, unfamiliarity with empirical data and lack of respect for scientific knowledge. Be sure to create straw men and argue against things I have neither said nor implied. If you could repeat previously discredited memes or steer the conversation into irrelevant, off topic discussions, it would be appreciated. Lastly, kindly forgo all civility in your discourse . . . you are, after all, anonymous.

9 Responses to “Look Out Below, Apple Q Miss Version”

  1. PeterR says:

    S&P 1400 should be a bottom, unless of course it is not. Below 1400 is HAL’s valley of hurt.

    Fasten seat belts for Sandy in the NE. This storm could weigh on the NYC-based markets today IMO.

    [I. e., will there be an open on Monday morning? TBD]

  2. Ted Kavadas says:

    RE: “…revenue and profits under pressure.”

    IMHO it is disconcerting that such a broad range of companies have revenue and profit pressures, and are also lowering guidance. Lagging revenue growth (and now declining revenue in some cases) has been an ongoing notable problem since 2009.

    My interpretation of the overall economic situation continues to be that risk and the underlying level of problems continues to increase, and are at very heightened levels.

    For those interested, my latest post on the subject can be found here:

  3. wj says:

    Maybe the day of Apple’s miss will be the washout day for this correction…

  4. PeterR says:

    PS — Watch Sandy live +/-.

    She seems to be slowing down IMO, as the high pressure system to the NNE affects her. You can actually see this in the time-lapse views in the different views along the east coasst.

  5. sditulli says:

    The problem with your analysis is its all pre-Central Bank Action. Europe only recently went to policy that stabilize the situation and haven’t really started pumping things up yet. China has shown some uptick in the data.

    I consider the September FOMC to be the most important FOMC in 20 years. They have fundamentally changed the way they do monetary policy (small steps at first though). They have basically removed a 2% inflation target and instead are focusing on full employment.

    To predict a recession at this point is to fight the FED. And this time it isn’t a FED that is acting late but a FED that is acting pre-emptively.

    Tape fails awful right now, but I believe this is the best time to buy stocks in my lifetime. Cheap valuations. If we fill the output gap (which the FED is trying to do) then earnings will have a substantial boost. If they fail then we hang out here.

    Extreme bull 120% long despite weak tape.

  6. VennData says:

    Stay the course. Rebalance annually, if needed. Ignore the noise.

  7. Concerned Neighbour says:

    Got to love it.

    AAPL misses quarterly results and forecast; shares up.

    AMZN misses big on quarterly results; shares up significantly.

    AMZN truly is a miracle stock. It never has to show any earnings, yet continues to enjoy sky-high multiples. One of these days competition will disappear in the highly competitive retail space, and AMZN’s margins will be able to expand from near nil; or so AMZN investors will seemingly forever believe.

  8. techy says:

    regarding AMZN:
    IMO, this is a stock where around 85% stock owners do not want to sell it, they are just happy making money by selling options, squeezing shorts etc..
    But I think it is reaching a point where revenue growth may not be possible, maybe time to buy some far OTM put spreads, since it will be a spectacular crash when revenue starts to stagnate or fall.

  9. PeterR says:

    Apple at MA(200) at 586 may be a buy?