We may not be flying into a storm, but there’s been plenty of turbulence this year. How businesses, households, and central banks steer through the rough air will set the tone for markets over the second half of 2022.
Making the case for stocks to stage a second half rally back to the prior highs requires investors to see through some heavy cloud cover.
U.S. stocks are trading at more expensive valuations than their international counterparts, as they have been for quite some time. However, the chart below illustrates the continued earnings superiority of the U.S. equity market.
First quarter earnings season was solid by just about any measure, but based on recent market behavior it’s obvious that in general market participants paid little attention.
With the S&P 500 Index in correction territory while the market faces a number of big threats, studying market history for reminders of the benefits of long-term investing can be helpful.
Earnings will be key to the path for stocks the rest of the year given that we believe valuation expansion will be tough to come by with higher interest rates and stubbornly high inflation.
After a tough start for stocks in 2022, investors are looking for reasons to expect a rebound. Here we cite some reasons we don’t expect this selloff to go a lot further.
Corporate America has been on quite a run. Coming into 2021, S&P 500 Index companies were expected to generate less than $170 in earnings per share. As 2022 begins, it looks like that number may end up higher than our latest estimate of $205, one of the biggest earnings upside surprises ever and a big reason why stocks did so well last year.
With Halloween over the weekend, what better to write about this week than what scares us? If our positive near-term market outlook proves to be overly optimistic, we believe one—or perhaps more than one—of these five things will likely be the culprit.
Seasonal tailwinds, improving market internals, and clear signs of a peak in the Delta variant all provide potential fuel for equities heading into year-end
