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Article and -- green previously companion asked -- pretty darn cute she was.
Our stocks cautious ahead -- earning season which kicks up after the bell today.
Can expect that investors expect to hear from corporate America and what's it mean for the markets joining us out young.
-- capital IQ global equity strategist.
Out you know the world wants to know we love it here and that people for the most part are expecting his earnings season and being.
Dismal at best but it's really all about what they're gonna say going forward right.
-- guidance is always really important right now that this the bar's set pretty low for corporate America the first quarter.
The consensus according to capital IQ is only looking for about.
Half a percent increase in corporate earnings on a year of your -- so expectations are very low.
What -- seen over the last few years as companies -- beating expectations by about three point 8% every quarter.
So with the street looking for about a half a percent we wouldn't be surprised to see that number come in around 45%.
We're expecting another quarter were corporate America -- a low bar.
Out why set it low enough anybody -- jump over it I guess -- I'm not sure how that helps us make investment decisions what do you look -- here though you look and hear about your.
Are you -- to hear about China what in particular are you going to be listening for.
Well I think we're going to be looking for the forward outlooks so BP earnings results themselves a backward looking stocks are forward looking so what's the guidance.
And then what's the what's the feeling in -- in corporate America about demand because.
You know increased corporate investment hiring these are all things that are starting to happen but we want to see more of that so how comfortable are executives in the the outlook for demand for their products are they gonna have the confidence to really add to payrolls.
Really I drive some significant capitol investment and then obviously you mentioned -- -- weak spot for companies multinational companies.
Wanna hear about what's going on there the macro data indicates that people are pushing out the recovery in Europe things are kind of weaker -- pretty -- -- so.
We'll definitely want to get out of global update.
Given that we're seeing much better performance for more domestic carriers so investors are getting more worried that the globally sensitive companies made the underperforming.
Right and then we have -- speaking of global companies starting tonight global aluminum supplier back in the day a -- -- -- was the Bellwether.
Second time for the entire us earning season.
Let people have different views on that now where do you stand without -- Well I think our analysts has a buy recommendation on the stock eleven dollar price target -- lead him to elaborate more but from a more macro perspective don't really view it is about Bellwether it happens to be the first company reported recorder gets a lot of media attention but.
It's been a pretty troubled company for many years now and I've never really personally looked at it is any kind of an indicator.
To the overall earning season after all it's only one company among 500 that we're looking here share.
-- so -- Simpson at the bar so low lots of companies are gonna jump book written.
Ben Bernanke still pumping money into this market the old sell in May go away adage be kind of on that out the window this year.
It's worked well the last few years I wish looking at the calendar as I wish it was that simple terms of making money in the market -- I think.
The key is -- -- be the the macroeconomic data -- -- companies will be fine with earnings.
But the data softened up in the last couple weeks after having been stronger than expected for most of Q1.
And I think that's kind of stalled this rally out a little bit right so we're what we're gonna want to see.
This is just a soft patch where we -- have a more significant slowdown throughout the summer as we've seen in the last few years I think that's gonna drive the action.
More than any historical.
I know you like -- health care consumer discretionary and the industrials.
Let's just talk about the industrials quickly where where you putting your money are we talking you know Nat gas drillers a drop in -- like that caterpillar.
Wolf you know we're making a sector level call so you're what you're talking about -- you know drilling deeper into that we don't really do that we leave that -- our analysts but generally.
More domestic carries and industrials we like better than the more global.
Areas because the -- the US recovery while not great.
Has better momentum than what we're seeing overseas.
Yeah thank you very much for sharing your thoughts.
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