Registered Investment Adviser Caleb Lawrence
The major averages moved higher to begin the week despite a lack of economic data, though consumer credit comes out after the close, will see if it can snap a string of declines.
The earnings season is off to a solid start as the 1st quarter data is the best in 24-years. Of the 417 Standard and Poors 500 Companies that have reported so far 78.9% have beat expectations, pushing earnings growth to a very respectable 22%.
Increasingly acrimonious trade discussions between the US, Europe and China hint that a deal won’t be reached before the latest temporary exemption expires at the end of May. More than a few agricultural shipments have been cancelled in transit so far. China in particular has begun sourcing agricultural products including soybeans, sorghum, corn and pork from alternative vendors with Brazil and to a lesser extent Canada benefiting so far.