Earnings Outpace Lagging Predictions: 84% Exceed

By
Mortgage and Lending with The Federal Savings Bank/Lending in 50 states NMLS # 109616

Fannie Mae released its October 2019 Economic and Housing outlook recently showing that residential fixed investment and continued strong consumer spending are expected to help counteract weakness in business fixed investment. Fannie Mae sees full-year Gross Domestic Product at a solid rate of 2.2% for 2019. The housing market is expected to be a source of strength in the foreseeable future. In addition, Fannie Mae went on to say that home prices appear likely to maintain a positive growth trajectory due in part to persistently low mortgage rates and evidence of declining inventory.

Over the weekend, there were positive trade headlines out of China along with President Trump's comments on Friday that he feels a deal can be signed in Chile next month. Additionally, earnings season has been a positive surprise for US stocks. The S&P 500 company earnings were expected to decline by 3.1% compared to last year but of the 73 companies that have reported so far this season, 84% have beaten estimates, reports Reuters. This week, some big-name companies will be reporting and the numbers could impact the markets.

There were no economic reports due for release today and the rest of the week's calendar is on the light side. New and existing home sales will be released as the markets look for continued strength in the sector. The US financial markets will continue to be gripped in the US-China trade headlines, corporate earnings and the Brexit talks from the UK - all of which have been positive. The closely watched S&P 500 (3,002) is now just below its all-time closing high (3,025) hit back in late July.

 

close

This entry hasn't been re-blogged:

Re-Blogged By Re-Blogged At
Topic:
Mortgage / Finance

Post a Comment
Spam prevention
Spam prevention
Show All Comments
Ambassador
3,404,885
Debe Maxwell, CRS
www.iCharlotteHomes.com | The Maxwell House Group | RE/MAX Executive | (704) 491-3310 - Charlotte, NC
Charlotte Homes for Sale - Charlotte Neighborhoods

As long as earnings keep exceeding estimates the market should be fine. I don't put much stock in the comments made about the trade dispute. Neither side can be trusted to tell the truth.

Oct 22, 2019 01:16 PM #1
Post a Comment
Spam prevention
Show All Comments

What's the reason you're reporting this blog entry?

Are you sure you want to report this blog entry as spam?

Rainmaker
1,375,109

Jeff Jensen

Ask me a question
*
*
*
*
Spam prevention