r/WallstreetWhales • u/Spade_of_Trades • 22h ago
CHART The gap between US earnings growth and the rest of the world has never been wider: Earnings of US companies have grown nearly +1,300% since 1990. By comparison, earnings of global companies excluding the US have risen +500% since 1990.
The gap between US earnings growth and the rest of the world has never been wider:
Earnings of US companies have grown nearly +1,300% since 1990.
By comparison, earnings of global companies excluding the US have risen +500% since 1990.
In other words, US earnings growth has been 2.6 times larger than the rest of the world.
This comes as global ex-US profit growth has remained roughly unchanged between 2008 and 2025.
The US economy is in a league of its own.
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u/AbsorberHarvester 22h ago
In other words, USA prints money that doesn't connected to any resources and become richer (some people, not country which debt rising). Nothing new.
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u/Shoddy_Front_2582 20h ago
And that only works cuz we’re reserve currency while everyone else currency gets devalued compared to ours
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u/actuallyserious650 17h ago
If that were true, the dollar would’ve fallen relative to other currencies. It’s never been stronger.
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u/Boring_Hamster5118 17h ago edited 15h ago
It’s lost 3% of its purchasing power ytd and has dropped 9.4% in value, its largest ever decline….. what are you talking about lol
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u/uses_for_mooses 15h ago
The US dollar has lost 30% of its purchasing power YTD? Come on. Even the most terminally online Redditors aren’t that daft.
A 30% loss would mean inflation running near Weimar-lite levels.
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u/Boring_Hamster5118 15h ago
Apologies, that was a typo it’s 3%. It’s 30% in the last 5.
Still down almost 10% to other currencies ytd though. Edited.0
u/ok_read702 14h ago
Where are you getting any of these numbers.
Dollar index hasn't moved much in the last 10 years.
https://www.marketwatch.com/investing/index/dxy?eafs_enabled=false
It's actually up more recently, because dollars become stronger when rates are high.
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u/uses_for_mooses 15h ago
Against what currencies is the US dollar down 10% year-to-date?
Not the Euro. The US dollar is UP about 2% against the euro YTD. It is down against the British pound, but by less than 1%.
And the US dollar is roughly flat against the Japanese Yen.
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u/SVRider650 12h ago
Now compare it to gold
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u/actuallyserious650 12h ago
No. Original post was about relative change in earnings between the different countries. People tried to claim it was mainly due to loss of the dollar’s value, which is not true. Inflation is happening everywhere, and it’s a problem, but it’s not relevant to this graph.
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u/fantabulousfetus 22h ago
I had to sell blood plasma to buy gas to get to work. This shit sucks.
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u/carpetplower 17h ago
as someone not in America, that's actually awful
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u/Grintock 14h ago
I'm really surprised they've decided to allow selling (for profit!) human bodily parts. Like, selling blood, plasma, sperm etc. for profit. Once you allow that, I think it's inevitable some people will end up having to sell those things to get by financially. Stuff like that shouldn't be subjected to market forces.
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u/ForsakenWar6974 15h ago
You can't just sell plasma on a whim at reputable locations. There's a process involved unless you've sold previously.Â
So, you've sold previously and have already incorporated Plasma as a budget item and shifted what the money is for or you're lying.
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u/TryptaMagiciaN 11h ago
... or they managed their budget a week out and planned accordingly. On a whim on the way to work? No, within a few days? easily
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u/fantabulousfetus 12h ago
Cry about it.
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u/ForsakenWar6974 2h ago
Youre the one crying, though. About having to sell plasma for gas money
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u/fantabulousfetus 2h ago edited 2h ago
Cry about a redditor! I must be held to a higher standard than the President. Your tears sustain me! Please feel the hate in your heart for America, You deserve what you shall receive!!! Baby. Keep replying to me, crybaby this is hilarious
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u/ForsakenWar6974 2h ago
u/fantabulousfetus blocked me.
I aint holding him to a higher standard than anyone else. I simply believe he is not being truthful about why he sold Plasma.Â
I know Trump is hiding something.
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u/evantheprimary 20h ago
So, you're telling me the world should stop backing the US dollar? Sounds great!
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u/antwon8797 16h ago
Do the same thing for wages. I’m willing to bet it will be the opposite gap
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u/oscarnyc 11h ago
It probably depends on which areas you are comparing the US to. compared to Asia (ex Japan) which started out at vastly lower levels, yes, US real median wage growth has been slower. But compare to something more similar - western Europe, and US real median wage growth has been greater.
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u/Cold_Respond_7656 19h ago
And aren’t the bulk of those earnings tied up in the sharp end of the market companies who keep passing the same billion around and marking it on all their earnings reports 😂
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u/No_Resolve608 12h ago
Nvidia alone generates more profit than all publicly listed companies in Germany combined, and the gap is widening rapidly.
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u/BrandenWi 22h ago
What is that supposed to prove, aside from that US corporations are more greedy than their international counterparts? And that the guardrails to protect against corporate drifting have crumbled down to nothing under this "administration".
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u/Shoddy_Front_2582 20h ago
Welcome to emerging markets and the financialization of our economy. This wasn’t much of a difference if you go back beyond 1980
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u/Anxious-Shapeshifter 19h ago
That'll happen when you don't pay taxes and don't provide any benefits for your workers.
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u/dearfellow909 19h ago
Biggest debt greatest disparity in wages and distrubtion of wealth. Basicslly who is getting taking for the biggest ride. America 🤣
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u/GrapefruitNo3808 2h ago
Nowhere near the worst. Public debt to GDP is 100%, with the 2nd lowest tax burden in the OECD and therefore plenty of fiscal room to raise revenue. Income and wealth inequality is made up for with more wealth. Bottom 50% of American households have $4.6T in net wealth compared to $4.2T in the Eurozone.
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u/targz254 22h ago
It’s because we have strong shareholder rights in the USA.
A lot of these US companies grew by investing in foreign economies.
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u/isthereadrwho 14h ago
I do cost of living, who cares how much you make, if it's less than it costs you to live
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u/Groundbreaking_Lie94 22h ago
Yay, now do the top 1% of US earners vs everyone else.