The Rising Influence of Rising Affluence

[biotech_researcher]

Liz Ann Sonders shows a terrific chart of the deeply negative correlation in forward earnings of the S&P and current price, which shows that correlation betweeen S&P 500 & forward earnings estimates has been +.90 over past 20 years, but a mirror image -.90 since 3/23/20. DE is participating with the pack.

Intuitively, we can sense that stocks have disconnected from earnings estimates; but check out below, which shows that correlation betweeen S&P 500 & forward earnings estimates has been +.90 over past 20 years, but a mirror image -.90 since 3/23/20 pic.twitter.com/7xet0QqXLX

— Liz Ann Sonders (@LizAnnSonders) May 21, 2020