Analysis: U.S. Companies in Sales Struggle as Global Downturn Bites

(Reuters) - U.S. companies are finding it more difficult to grow their revenue now than at just about any time since the financial crisis.

Second-quarter revenue growth for companies in the Standard & Poor's 500 index .SPX is expected to be just 2.2 percent compared with an average 7.3 percent quarterly increase since the fourth quarter of 1998, according to Thomson Reuters data based on Wall Street analysts' forecasts. Take out the supercharged sales of Apple Inc (AAPL.O) and the picture is even weaker - with growth of only 1.9 percent for the current period.

The lowered expectations are a result of the euro zone crisis hurting demand from Europe, the impact of a slowdown in major developing economies such as China, Brazil and India, and recent signs of weakness in the United States.

READ MORE AT REUTERS

Comments

advertisement

The past several months have seen the price of gold slump even as the Fed and other central banks have accelerated their massive expansion of paper money. Gold is off about 20% so far this year with silver down almost 30%. The old adage--“don’t fight the Fed”--particularly comes to mind now because the US equity markets have been setting new highs during this same period. All of these gains are nominal, you understand, but for terrified American policy makers and investors, nominal is just fine.

Full Article

Send A Tip

Most Popular

advertisement

Breitbart Video Picks

Fox News National

advertisement

Sign up for our newsletter

advertisement

From Our Partners