Tag Archives: revenues

Sellin’ Outside the USA

S&P 500 sales did quite well in Q4 — up 7.7% and ahead of estimates by a country mile. But, from what I see most growth in sales is coming from outside the USA! Here, revenues are growing at barely a 3% annual rate. The pace is around 20% for foreign-derived sources. The question is what happens to these sales if foreign markets slow and more importantly what does this mean for all important job growth here at home?

Credit Default Swamps

Based on my calculations, credit default swaps are trading as if Greece has a 70% chance of defaulting, 50% for Ireland, 40% for Portugal and 30% for Spain. Both Greece and Ireland are paying over 80% of their export revenues towards external debt payments which totally unsustainable. After Portugal, Spain is next, then maybe Belgium. This story is as contained as the Asian crisis was limited to Thailand 12 years ago.