Inflation, recession and earnings among factors to drive U.S. stocks in 2023

  • 📰 Reuters
  • ⏱ Reading Time:
  • 46 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 22%
  • Publisher: 97%

United States Headlines News

United States Latest News,United States Headlines

U.S. stock investors could not be more eager to turn the page on 2022, a brutal year dominated by market-punishing Federal Reserve rate hikes designed to tamp down the steepest inflation in 40 years.

Inflation, and the Fed's degree of aggressiveness in trying to contain it, will likely remain a critical factor driving equity performance as 2023 gets under way. But investors will also be watching for fallout from higher interest rates, including how tighter monetary policy ripples through the economy and whether it makes other assets more competitive with stocks.RECESSION OR SOFT LANDING?

Perhaps the biggest question that will sway stocks as the new year begins is whether the economy is headed for a recession,If a recession starts next year, stocks could be set for another slide: A bear market has never bottomed before the beginning of a recession, historic data showed. Recessions tend to hit stocks hard, with the S&P 500 falling an average of 29% during recessions since World War Two, according to Truist Advisory Services. Those declines, however, have usually been followed by a strong rebound.Investors are also concerned that corporate earnings estimates may not have fully factored in a potential slowdown, leaving more downside for stocks.

Consensus analyst estimates as of last week projected S&P 500 earnings to rise 4.4% in 2023, according to Refinitiv IBES. Yet earnings fall by an average annual rate of 24% during recessions, according to Ned Davis Research.

Source: News Formal (newsformal.com)

 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.

Sounds like a trainwreck.

Actually heard a great catch up with Mr Mrart3rs , I like his analysis of Crypto and Bitcoin, also his confidence in the Crypto space. I earn $20K in the next few weeks however is too high but just imagine it was correct. You can follow him for bitcoin earning tips😱

Not only the United States, but also the United Kingdom

We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 2. in US

United States Latest News, United States Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Our favorite Guardians games of 2022 and what we’re looking forward to in 2023: PodcastJosh Naylor’s home runs and head butts, Myles Straw’s Spider-Man antics in the Bronx... Guardians reporters Paul Hoynes and Joe Noga look back at their favorite Guardians moments of 2022 and what the 2023 schedule has in store.
Source: clevelanddotcom - 🏆 301. / 63 Read more »

Understanding Different Diet Fads: What Works and What Doesn’t 2022 / 2023 » Fashion AllureWhat we can agree on, is that some diet trends are healthier and more effective than others. While diets not working may be a natural occurrence, it's important to be cautious of the impact they may have on your body. Today, we'll be looking at the diet fads that work, and those that don't.
Source: efashionallure - 🏆 721. / 51 Read more »

The historical events of 2022 and how they will impact 2023With the new year just around the corner, we look back on 2022 which was packed with significant events from start to finish.
Source: WTVYNews4 - 🏆 590. / 51 Read more »

Australia's Lithium Export Earnings Expected To Exceed $16 Billion In 2022–2023Australia’s Lithium Export Earnings Expected To Exceed $16 Billion In 2022–2023
Source: cleantechnica - 🏆 565. / 51 Read more »

After a challenging 2022, Greater Cleveland Food Bank bracing for a tough 2023Demand for services remains elevated. Inflation remains high, driving up costs for both clients and the Food Bank. And while the public stepped up during the pandemic, offering donations and volunteer work, the question is how long can that last. The wonderful Biden economy, increasing business for food banks everywhere. Another reason to stop giving to panhandlers. They just throw whatever you give them (other than cash) on the ground causing litter to blow all over our city. If they can make it to all these off-ramps, they can make it to the food bank.
Source: clevelanddotcom - 🏆 301. / 63 Read more »

Larry Magid: Looking back on 2022 and ahead to 2023This year wasn’t a good year for tech, but it was a momentous one.
Source: mercnews - 🏆 88. / 68 Read more »