In November we showed a chart showing the yawning chasm of exuberant faith-in-Draghi hope that was 2013-to-2014 earnings growth expectations in Europe. At the time we remarked – now prophetically – how it would seem Draghi’s “whatever it takes” confidence-inspiring orgy of European asset-buying had driven the EUR almost 20% higher from the 2012 crisis lows… and in the meantime had crushed European competitiveness. The hockey-stock hope at the end of 2013 has not materialized – surprise – in fact earnings growth expectations have utterly collapsed in the last 2 months… time for a “whatever it takes” to weaken the EUR jawboning soon (all without the aid of a fallacious and Treaty-busting OMT).
Here is the hockey-stick of European earnings growth hope/hype from the end of 2013… (the green arrow shows the gap between reality and future hope for 2013 and 2014)…
Fast forward 5 months and this is what that black line has become!!!! Earnings growth has collapsed…
h/t @Not_Jim_Cramer
“Whatever it takes” might just have to morph into “Just sell it all”
via Zero Hedge http://ift.tt/1nYo7ul Tyler Durden