As always, Alcoa starts the earning season today after the close. Whose ideas was it make such an inconsistent company the first one to report?
AA being the world's largest energy user will be a bellwether for many many stocks that also use energy (read: almost off of them) to produce their products.
So AA can disappoint on two front.
1. It can say that energy cost are squeezing margin.
2. It can say that global demand is slowing, giving some proof to global recession theories, and crushing markets around the world.
3. All of the above
Put on your seat belt, we may be flying into some turbulence!
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1 comment:
I agree, why would AA be the first to report earnings. They always seem to tank after their earnings. Which with the DOW being so fragile right now might be bad... However, I think this time will be different. Check out my blog to see why I think so.
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