Companies’ bottom lines are getting a boost from the reopening, but stocks don’t seem to care

  • 📰 CNBC
  • ⏱ Reading Time:
  • 46 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 22%
  • Publisher: 72%

Singapore News News

Singapore Singapore Latest News,Singapore Singapore Headlines

Companies are seeing the reopening boost the bottom line, but stocks don't seem to care

"We definitely have clarity into what the market wants, it wants higher earnings estimates," Alec Young from Tactical Alpha told me. "What we don't have clarity on is, how big does guidance have to be to drive stocks higher?"

A second, more troubling issue, is the concept of "peak everything." Peak economic growth. Peak earnings growth. Peak reopening optimism. In a note to clients today, David Kostin at Goldman Sachs acknowledged that "U.S. economic growth is peaking." While decelerating growth is usually associated with weaker, but still positive, equity returns, he notes that "equities often struggle just as growth peaks and begins to decelerate." Deceleration of economic growth typically signals an end to a rally in cyclicals and a rise in more defensive sectors .Not necessarily, Kostin says. Though U.S.

His advice: Buy a screen of global-facing cyclicals relative to domestic-facing cyclicals. Stocks on his list include Nvidia, Qualcomm, BorgWarner, Mosaic, DuPont, and Freeport-McMoRan, all of which obtain more than 60% of their revenues outside the United States.Sign up for

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:

 /  🏆 12. in SG
 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.

These are the banks/payment gateways/currency exch/other financial service providers who are already using XRP. XLM even more. xrpripple ripple $xrp XRPCommunity SEC cryptocurrency Crypto btc Bitcoin Ethereum trx xmr Zilliqa xlm Stellar

HATE CNBC

Love CNBC!

Singapore Singapore Latest News, Singapore Singapore Headlines