A man stands next to a bank’s electronic board showing the Hang Seng Index in Hong Kong on July 21. Markets’ forward-looking nature means they have been able to move well ahead of the real economy to price in an expected recovery in corporate profits. But are they right? Photo: AP
Opinion
Opinion
Macroscope
Earnings season will tell if stock market optimism is justified
- Most market watchers predict a drop and bounce-back in profits sharp enough to be called V-shaped. If they are right, the reporting of second-quarter company earnings now under way should reflect a turning point in global profits downturn
A man stands next to a bank’s electronic board showing the Hang Seng Index in Hong Kong on July 21. Markets’ forward-looking nature means they have been able to move well ahead of the real economy to price in an expected recovery in corporate profits. But are they right? Photo: AP