Commentary: Paul Ebeling on S&P 500 Earnings
Last week was busy for participants; there was lots of earnings and economic data to digest.
The books closed on the month of April as stocks marked + 1.0 to 2.5% depending on which of indexes was your focus.
For much of April the market continued to consolidate the strong move off of Donald Trump’s election, but then came the last 5 trading days, which saw a strong move North early in the week.
During the received a mixed bag on the earnings front, as some better-than-expected, some that were not.
So far about 60% of the S&P 500 companies have reported their Q-1 Y 2017 results and there are now just over 200 to report.
Over this next 5 days, we well get results from 118 of those companies, so by end of this week we will have have heard from about 80% of the S&P and that should give us a solid look at expectations for Q-2 and Q-3 for Y 2017.
As of last Friday, economists surveyed by MarketWatch saw US GDP rebounding to a 2.8% rate in Q-2 from 0.07% in Q-1.
The Fed’s next policy meeting will be held this week on 2-3 May, and while the growing consensus is that the Fed is likely to push potential rate hikes to June or later in Y 2017.
Over the next 5 days, we get the usual beginning of the month data combined with the corporate earnings reports, plus the next Fed policy meeting.
And then we end week with Cinco de Mayo to celebrate. I love really good Tequila neat!
|HeffX-LTN Analysis for SPY:||Overall||Short||Intermediate||Long|
|Neutral (0.23)||Neutral (0.12)||Bullish (0.31)||Bullish (0.25)|
Have a terrific week.