The darkest moment of the earnings cycle for US stocks has not yet arrived
my equity strategy framework includes several key components. Overall earnings often determine the trend of stock prices most. If a company's earnings exceed current earnings expectations and exhibit an accelerating upward trend, its stock price tends to continue to rise before becoming too high.
This is precisely the driving factor behind the bull market in most cases - the steady rise in earnings expectations and the ability to maintain an upward trend for the foreseeable future.
However, once a bear market begins, it is difficult to determine when it will end before earnings expectations stop falling.
Earnings expectations are unlikely to bottom out before September this year, which also means that the trough in US stocks is still ahead.
This has happened in 2022: investors sold stocks one month before the financial reporting season, and then the stock market rebounded because investors thought that the profit had bottomed out.
Violets : good post
Ava Quinn OP : glad to help you