CNH: (CNH)

Catapiller announced that its third-quarter profit rose 21 percent. But the company also cut its guidance for the year, citing expectations of slow U.S. economic growth,and possible recession.3Q revealed a problem with the company that is out of management hands,it has been proven that whenever a company starts to blame outside sources for there problems it is wise to sell.When (CAT) said they see a slow in demand for there services in the US,I believe that it also tells alot about there competitors and companies that benefit from from (CAT),expect to see a slow down in any busines levered to (CAT) and subprime,(UTX) which provides ventilating, heating,air conditioning, powered moving systems including elevators and escalators.(CNH)construction equipment segment manufactures heavy equipment, such as crawler excavators, wheeled excavators and loaders, graders for various applications, dozers, and articulated dumpers. It also offers light construction equipment, including backhoe loaders, skid steer loaders, compact track loaders, and telehandlers.(TEX) Terex Construction segment designs and manufactures off-highway trucks, scrapers, hydraulic excavators, wheel loaders, material handlers, pumps, gear boxes, and truck mounted articulated hydraulic cranes; and loader backhoes, compaction equipment, mini and midi excavators, site dumpers, and wheel loaders.and(MTW)the cranes segment designs, manufactures, and distributes crawler and truck mounted lattice-boom cranes, top slewing and self erecting tower cranes, mobile telescopic cranes, and hydraulically powered telescopic and articulated boom trucks under Manitowoc, Potain, Grove, and National brand .When (CAT) started predicting a reccesion for America(IF THAT WASN'T A SCREAMING SELL,THEN I DON'T KNOW WHAT IS) to me they were telling investors that it was going to get a @#$% of a lot worse befor it gets better,softening markets in the U.S., in numerous non-residential end markets, is what may be a bigger problem than anything for (CAT).Sectors including non-metals mining and quarrying, coal mining, non residential construction contracting, and freight movement are likely to see additional deterioration, while softness in the machinery industry is also likely to persist.Caterpillar warned that several key U.S. industries it serves, including trucking and nonmetal mining, were "in recession." It also said its machinery sales to non-residential builders were being hit as hard as its sales to the residential building industry, which it said was in "severe recession."Although (CAT) international business iss doing well enough to offset its losses in America,they are feeling the effects of the credit crunch and subrime. If commercial construction starts to go the way of residential construction, that's going to create some pretty difficult headwinds in 2008, 2009.(CAT) is considered best in breed,and if best in breed is going to do badly what are there competitors going to look like when they report 3Q and 4Q.SELL list includes (CMI),(ASTE),(PH),(BZH)(CFC)and(ITW).