"The earnings of S&P 500 companies are expected to grow 6.9 percent in the third quarter, according to Thomson Reuters data through Thursday morning, on revenue growth of 4.1 percent."
As I pointed out at yesterday's luncheon in Dallas (see slide 20), there is strong correlation between the earnings growth of the S&P 500 and the S&P 500 Index. There is NO WAY the market will stay down for long if the companies are reporting earnings growth like this. The stock market has gotten ahead of earnings (trading at high EPS multiples), but it rarely stays down when earnings are accelerating. The fundamentals will win out.
Most of our Sweet 16 companies are on-track to report record earnings per share this year.
Big Picture
Big Picture
Dan Steffens
Energy Prospectus Group
Energy Prospectus Group