With 85% of S&P500 companies now reported Q3 earnings, here the upshot:

  • Q3 was the 7th consecutive decline in trailing twelve month as-reported (real world) earnings. It was the 6th consecutive decline in earnings from operations (fallacy earnings used by the investment community and their news network shills). These events have not happened outside of a recession since WWII. To be clear, the U.S. economy is not in recession. Not for another 5-6 weeks….
  • Profit margins continued to climb. As-reported profit margins are 8.9%, and 9.9% based on operational earnings.  Watch this get sliced in half in Q4.

Expect Q4 to be the worst since 2009.