Profit Quality Concerns Send Stocks Lower

Friday saw see-sawing stock prices as investors became concerned about profit quality . Even though some earnings are positive (banks have been seeing good success), there are concerns about the quality of other profits. GE is one of the biggest concerns for investors right now. Revenue for GE fell 17%, and the stock price slid yesterday. Reuters reports on issues surrounding GE numbers :

“GE numbers are not a good sign and a reflection of the global economy still being weak,” said Bill Strazullo, chief market strategist at Bell Curve Trading in Boston. “The market is holding in, but it is not all clear.”

Weekly numbers showed a little more promise as far as stock performance. In this climate, though, “better than expected” earnings are being hailed as if they are good profits , illustrating the desperation of some to find good news in the current situation.