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On the subject of revenues and profits, of the 86% of the Standard and Poors 500 companies that have reported 2nd quarter results so far.  Despite a sizable beat rate with respect to earnings and revenues, profit growth for the quarter is tracking-3.5% and will mark a 5th consecutive quarter of year ago declines.  Earnings growth estimates for the 3rd quarter are already negative, and for all of 2016, earnings are expected to slip .3%.  No wonder valuations are steadily climbing despite an essentially flat market. Moving to revenues, and the picture looks a little better, with revenue growth tracking zero so far for the 2nd quarter.  That said, revenues look to fall on a year ago basis, data as per FactSet Research.

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