Analysis: Earnings outlook may be deteriorating rapidly
Reuters – Fri, Dec 2, 2011 6:29 PM EST.. .
By Ryan Vlastelica
NEW YORK (Reuters) – Earnings season is just over a month away, but the early signals are not comforting.
LEE ADLERCompanies cutting forecasts outpace those raising estimates by the greatest ratio in 10 years, and some sectors, such as materials, have seen a dramatic fall in expectations for the soon-to-be ended fourth quarter, according to Thomson Reuters data.
It is a stark reminder that even as U.S. economic data has improved in recent weeks, the euro zone debt crisis and concerns about slowing growth in China still cast a long shadow.
Estimates for fourth-quarter S&P earnings growth have tumbled over the past two months as global macroeconomic headwinds prompted analysts to slash forecasts.
The S&P is now seen posting earnings growth of 10 percent in the fourth quarter, down from a forecast for 15 percent growth on October 3.
http://finance.yahoo.com/news/analysis-earnings-outlook-may-deteriorating-232908720.
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