Why Q1 beats are not 'good enough' to drive market gains

  • 📰 YahooFinanceCA
  • ⏱ Reading Time:
  • 57 sec. here
  • 7 min. at publisher
  • 📊 Quality Score:
  • News: 43%
  • Publisher: 63%

Kevin Gordon News

Market Gains,Market Outlooks,Charles Schwab

Stocks (^GSPC, ^IXIC, ^DJI) experienced a significant surge following the release of the April Consumer Price Index (CPI) data, which showed signs of cooling...

To share insight into market outlooks amid the new data, Charles Schwab Senior Investment Strategist Kevin Gordon joins The Morning Brief.

How are you looking at the levels that we're currently trading at and whether or not you do still see some room here to the upside, I think there is.Number one and then number two kind of what to expect and maybe paring back the expectation of really strong gains akin to what we've seen. But when you start to look at where we are now in the earnings cycle, now you're moving back into double digit territory in terms of earnings growth.You're still seeing gains, but historically a weaker zone for the stock market.Now we're just moving into something that's a little bit more, you know, consistent with maybe relatively, you know, less strong gains, I would say, but you're not in negative territory.

And so you mentioned that even if companies are beating, they're still not being rewarded as much as we've seen in the past. So you're at the point in the cycle now where you need to start seeing actual sales growth and revenue growth improve because we've been in an environment of decelerating revenue growth still positive, but the change has been sort of moving lower.

 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.
We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 47. in NG

Nigeria Nigeria Latest News, Nigeria Nigeria Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

S&P 500 rallies amid quiet week for econ data: Market takeawaysStocks (^GSPC, ^DJI, ^IXIC) closed Monday's trading session on a positive note, with the S&P 500 (^GSPC) experiencing its strongest three-day rally so far in...
Source: YahooFinanceCA - 🏆 47. / 63 Read more »

Market trends, BOJ's yen move, 'R' dilemma: Stocks in TranslationStocks (^GSPC, ^IXIC, ^DJI) have been on the rise as first quarter earnings boost market sentiment. Sectors such as utilities (XLU), energy (XLE), and...
Source: YahooFinanceCA - 🏆 47. / 63 Read more »

Stocks start Tuesday higher, S&P 500 nears 5,200Stocks are back in the hustle of things as the major market indexes (^DJI, ^IXIC, ^GSPC) open Tuesday's session higher, continuing their May march higher...
Source: YahooFinanceCA - 🏆 47. / 63 Read more »

Stocks jump, close higher coming off of Fed's rate holdUS stocks pop Thursday as market indices (^DJI, ^IXIC, ^GSPC) close the session higher, the Dow Jones Industrial Average rising by 323 points and the Nasdaq ...
Source: YahooFinanceCA - 🏆 47. / 63 Read more »

Fed decision, Amazon earnings, Starbucks sales: 3 ThingsUS stocks (^DJI, ^IXIC, ^GSPC) saw their worst monthly performance of this year in April ahead of the Federal Reserve's next interest rate policy decision on...
Source: YahooFinanceCA - 🏆 47. / 63 Read more »

Q1 earnings have supported market growth: StrategistStocks (^DJI, ^IXIC, ^GSPC) face downward pressure ahead of pivotal market catalysts, including the highly anticipated Amazon (AMZN) earnings and the Federal...
Source: YahooFinanceCA - 🏆 47. / 63 Read more »