Feedback from the previous post suggests that many readers are skeptical that S&P500 corporate earnings can be taken at face value because of currency manipulation and the general condition of our fiat money system.  So it’s time to revisit past illustrations where I’ve compared earnings in US Dollars with other commodities such as gold, silver,Continue reading “Are EARNINGs REAL?”

It’s all about EARNINGS

Want to know where the market is headed?  Ignore the talking heads. It’s all about earnings (see below chart).  The stock market is correlated to corporate earnings, it’s that simple.  Sometimes it lags, sometime it leads, but over the long term they march together in lock step. So if you want to know where theContinue reading “It’s all about EARNINGS”

Overly Optimistic Wall Street

Wall Street earnings estimates for the general economy are always overly optimistic. This time last year, S&P500 full year 2015 earnings were estimated to be over $130…today those estimates have been revised down to less than $107.  (See below chart: Declining Earnings Estimates) If the current estimates hold, then profits would be at a twoContinue reading “Overly Optimistic Wall Street”