Original article by Timothy Moore
The Australian Financial Review – Page: 20 : 16-Jul-18
Expectations of earnings growth has been a major contributor to the rise of the S&P 500, which has gained 8.5 per cent since its February low. Market strategist Ed Yardeni notes that US corporate tax cuts in late 2017 have been the major driver of earnings growth. Analysts forecast earnings growth of 22.3 per cent in 2018 and 9.9 per cent in 2019. However, some analysts warn that earnings growth could come under pressure in the second half of 2018, due to factors such as the trade war with China and the rising US dollar.
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