Analysts Begin To Lower Earnings Estimates for 2022 Year

By Tom Burnett CFA In the latest FACTSET report from January 7, 2022, the consensus estimates for the S/P 500 Index earnings growth in 2022 are decidedly lower than for the 2021 year. While final 2021 results are not yet available, the expected information now looks like earnings growth of 45% and revenue…

By Tom Burnett CFA On January 7, 2022, the Bureau of Labor Statistics released its December 2021 Employment Report. Total employment increased by 199,000 in December, bringing the average monthly gain to 537,000 for the 2021 year. The unemployment rate declined to 3.9% from 4.2% in the prior month. The…

By Tom Burnett CFA We are early in the year 2022, but the important story for investors is the sharp upturn in interest rates during the first trading week of the year.  The yield on the 10-year Treasury bond is now trading at 1.67%.  When the Federal Reserve announced in mid-December its intention…

By Tom Burnett CFA On December 15, 2021, the Federal Reserve made it clear that it would be moving to a less accommodative approach to monetary policy. The Fed will be cutting its bond purchase program from $120 billion per month to zero in the March-April timeframe. If conditions warrant, the Fed will…

By Tom Burnett CFA On December 15, 2021, the Federal Reserve announced the results of its December Open Market Committee meeting. The Fed will not be changing interest rates, leaving the Fed Funds rate at a range of 0-0.25%. The Fed did make it clear that the bond purchase program, currently running…