jsmineset.com / by Jim Sinclair / October 23, 2012, at 2:29 pm
Jim Sinclair’s Commentary
We are without any question in the final Skier illustration. What the illustration says is the example of what is happening will be done no matter who is elected.
Today Caterpillar and DuPont reported the forecasted Skier’s reality years ago, but who listens?
Caterpillar cuts profit forecast as global economy slows
Caterpillar has cut its profit forecast for this year as the world’s biggest maker of construction and mining equipment is squeezed by a slowing global economy.
By Richard Blackden, in New York
2:29PM BST 22 Oct 2012
The US manufacturer has temporarily laid off some of its almost 130,000 employees and reduced production to compensate for the decline in demand.
The warning comes with just over two months of the year remaining and is significant, because Caterpillar’s operations in countries like China and and Brazil allow investors to take the pulse of the global economy.
Sales in China, which is a major buyer of Caterpillar’s flagship trucks, declined in the third quarter.
Caterpillar is forecasting sales for this year to be $66bn (£41bn), down from an earlier estimate of between $68bn and $70bn. Next year, sales could be as much as 5pc lower than in 2012.
“While there’s reason for optimism, and we’re not expecting a global recession in 2013, we are prepared and stand ready to take action no matter what happens to the global economy,” said chief executive Doug Oberhelman.