in negative territory

sinealba

Senior Member
French - France
"As recently as Oct. 1, analysts thought the S&P 500 would post a 47% jump in earnings for the fourth quarter. Now the estimates are 67 percentage points lower -- and in negative territory."

In this sentence, I don't understand why the journalist has felt in necessary to add "in negative territory".

If analysts had already predicted a 47% fall, then this fall minus the 67 percentage points would necessarily be negative, wouldn't it?

The 47% jump was negative to begin with, wasn't it?

Unless I've completely misunderstood the sentence.
 
  • Esca

    Senior Member
    ATX
    USA - English
    sinealba,
    A "47% jump" indicates that the earnings were originally projected to increase by 47%.
    A "jump" nearly always implies an increase.

    The new estimates are 67 percentage points lower than the original projection, meaning that the earnings are now expected to decrease by 20%.

    Does that help?
     

    sinealba

    Senior Member
    French - France
    Yes, this really does help!

    I was confused by the "as early as" which I thought meant "already on October 1".

    This led me to believe that the figures arrived at in October were already low, and that the later figures were even lower.

    Now I get it; thank you very much
     

    bibliolept

    Senior Member
    AE, Español
    Sinealba, when the writer says "as recently as Oct. 1," he is suggesting that even a very short while ago (just a few months ago, presumably), people were predicting a far different outcome, big growth rather than a decline.
     

    sinealba

    Senior Member
    French - France
    Thank you Bibliolept and Esca, I now understand both the meaning of the sentence, and the causes behind my mistake.
     
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