Last week we began a new quarter and that was all the buzz. This week is the beginning of earning season and that is the new “new thing”. One report I heard this morning said earnings are not going to be good this time around.

How do they know that?

They don’t.

It was said with confidence so that people will believe it and stay tuned through the next commercial for the next prediction. That is their business model… It is fun to watch and follow along with them, but we have to remember no matter how confident a speaker is, no one can predict the future.

So we can enjoy watching and listening but we have to be careful how we use the information. We have to put it all in perspective. Their goals may be different from your goals, their time frame may be different from yours. So we have to be on the defensive and know their business model. What are they selling and how does it apply to us?

As for the comment that “earnings will not be good this time”. I am not buying it. Not because the prediction won’t turn out to be right. It might turn out to be right, but even if it is, the guy who said it didn’t really know…