The Fed is ‘meaningfully deviating’ from one of the most basic rules for fighting inflation, BofA warns
Key takeaways
- Why does the S&P 500 keep hitting new highs even though the world is at war and oil is above $100 per barrel?
- It was the sixth straight quarter in which the index had delivered EPS gains of 5% or more, according to Ohsung Kwon and his colleagues at Wells Fargo.
- In a fast-moving situation that is changing by the minute, U.K.
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Why does the S&P 500 keep hitting new highs even though the world is at war and oil is above $100 per barrel? To misquote former U.K. Prime Minister Harold Macmillan, “Results, dear boy, results.” The index has delivered a blockbuster set of Q1 earnings. With 86% of companies reporting, “64% of companies beat both EPS and sales expectations, nearly 20 percentage points ahead of the historical average of 42% since 2001,” according to Savita Subramanian of Bank of America. The “1Q26 earnings season has blown past expectations,” she said in a note.
It was the sixth straight quarter in which the index had delivered EPS gains of 5% or more, according to Ohsung Kwon and his colleagues at Wells Fargo.