Wow. Unemployment rate is at 13.3% according to the BLS. All major averages shot up and as of this writing, they are extending their move higher. Can the market continue to rally? Is the Market a Hold? Should we sell into this strength that is propped up by stimulus? Those are the questions that traders are asking right now.
I believe that the all clear has not been called. Continue to look at the Jobless Claims each week to get a read on the market. We still have 18 million people that still are out of work. There are three things that I am watching. 1. Stimulus, 2. the Virus, 3. Recovery (job numbers). Right now, we still have some challenges in all three.
Happy Monday. Good Luck out there this week.
Economic Calendar
Briefing.com has a good U.S. economic calendar for the week. Here are the main U.S. releases.
Briefing.com
Last Weeks Numbers
Review Last weeks numbers here.
Earnings
Source I/B/E/S data from Refinitiv
Aggregate Estimates and Revisions
- 20Q1 earnings are expected to decrease 12.6% from 19Q1. Excluding the energy sector, the earnings growth estimate is -12.0%.
- Of the 494 companies in the S&P 500 that have reported earnings to date for 20Q1, 65.4% have reported earnings above analyst expectations. This compares to a long-term average of 65% and prior four quarter average of 74%.
- 20Q1 revenue is expected to decrease 1.4% from 19Q1. Excluding the energy sector, the growth estimate is -0.5%.
- During the week of June 8, four S&P 500 companies are expected to report quarterly earnings.
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