Markets Performance vs Earnings Estimates

Earnings estimates going in one direction and the equities market in another. This has been going on for quite some time and is definitely nothing new. During the last two years the market has been driven by multiple expansion. The strategy seems to be, why sell if it is the expansion of the Fed’s balance sheet that is the main driver of different assets and all other options will yield less.

S&P 500 Bottom Up

Earnings Estimate

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