Does Market care about earnings anymore?

Discussion in 'Trading' started by niting, Dec 6, 2013.

  1. niting

    niting

    4 months ago, analysts were predicting Russell 2000 forward operating earnings to be $55 and the index was at 1050. So far so good.

    Today, analysts are predicting forward operating earnings to be $40 and index is at 1130.

    So earnings estimate are down 27% and price is up by 7%.

    This is a massive bubble created by QE mentality and clearly shows that market does not care care about earnings anymore. The only thing matter that matters is QE. Sooner or later this is going to burst.
     
  2. It is also the reasoning that has been killing shorts lately.
     
  3. I sure hope it bursts sooner than later. all my positions are short right now.
    twtr@59.23 pzza@86 wbs@33.16
    down 0ver 6000$ being short this year.
    I think I was born a bear ugh.