Last week, Google, the largest small business advertising platform on the internet, announced a 21% decline in revenue per share year-over-year, leading to such a rapid decline in their stock price that stock exchange circuit breakers were forced to halt trading. Still, not many financial pundits noticed and investors didn’t seem too worried about the overall picture.
But this morning, investors in the U.S., Europe, and Asia can’t ignore the facts.
In a veritable who’s who of global behemoths, companies with operations across the globe and in many different industries are showing severe strain in a recessionary economic environment that can no longer be papered over.
The weak earnings and dwindling revenues have led to cost-cutting that will add to lost jobs in order to protect profits.
“The writing has been on the wall for a while,” said Peter Jankovskis, co-chief investment officer at OakBrook Investments LLC in Lisle, Illinois. Read more....