Rosenberg: The 2011 Market.

...in this business the name of the game for companies is to lowball their estimates and then beat them. So, we are not as impressed as others are that in Q3 nearly 80% of the S&P 500 surpassed their bottom-line numbers. The problem is that barely over 60% beat their top-line, and with margins in the nonfinancial sector already very quickly expanding to cycle highs, any revenue slippage going forward in an economy that is disinflating, if not deflating, in a growing number of sectors is likely going to prove problematic for a stock market embedding double-digit earnings growth next year. [Today; URL n/a]