Corporate
The US Federal Reserve Senior Loan Officer Opinion Survey (SLOOS) reveals that US banks continue to tighten lending standards for commercial and industrial (C&I), commercial real estate (CRE), residential real estate (RRE), home equity lines of credit…
It is widely expected by consensus that earnings growth will rebound into the year-end and into 2024. Multiple factors will drive the reacceleration in earnings growth. Sales growth will pick up: In the remainder of the year, sales growth will pick up from…
A narrow equity rally was the key characteristic of the US stock market in the first five months of the year. Despite concerns about the domestic economic situation due to ongoing monetary tightening, and poor external dynamics – China’s underwhelming…
We are now midway through the Q2 2023 earnings season: 254 of the companies in the S&P 500 have reported. It’s therefore worthwhile to stand back and observe some of the emerging trends. According to Refinitiv IBES, 78.7% of companies have reported…
The US Consumer Discretionary sector has been one of the top winners since the equity rally broadened two months ago. Its 13% gain since the end of May outpaces the S&P 500’s rally by 3.8 percentage points This outperformance comes despite last week’s…
Equity investors resoundingly approved of the large-cap banks’ second-quarter earnings reports: in the seven sessions since C, JPM and WFC kicked off 2Q23 earnings on July 14th, the S&P 500 Banks Index rose 6.3% to the S&P 500’s 1%, with all but two…
BCA Research’s Private Market & Alternatives service sees challenges ahead for Global Buyout across geographies as valuations need further resetting. Buyout valuations globally are stretched relative to historic standards. For Large Buyouts, Purchasing…
US speculative-grade corporate bond (junk) spreads rose significantly last year in response to a sharp increase in US interest rates and widespread concerns about a US recession. Junk spreads have since come in from their mid-2022 peak, and now trade below…
The Q2-2023 earnings season will kick off this Friday. The following are the investors’ “Cliff notes” to this earnings season. Market Expectations Earnings growth: According to Refinitiv IBES, earnings will contract by 6.4% y/y. If that is an actual…
According to BCA Research’s China Investment Strategy service, although the recovery in overall Chinese industrial profits will be subdued, there will be a silver lining among China’s consumer goods producers, autos and utilities. Corporate earnings in…