The possibility of an emerging economic recession of Corporate America was evaporated as soon as it was earlier this year.
According to the data source, the number of S&P 500 companies, who mentioned the term “recession” during their second quarter earnings call. FactsetA recession is defined as two consecutive quarters of negative economic development, as measured by the GDP.
“The recession on earning calls in this quarter had been spoken 16 times till now. (4%)Q1 average 124 in Q1 and 10-IR of 61. Said On X, quoting the factset.
Some observers are afraid that President Donald Trump’s trade tariffs are beginning to affect the economy.
Perhaps the leaders of the company are working under the assumption that the elevated tariff will eventually be “low” through talks rather than a long -term economic burden.
Trump unveiled a comprehensive tariff in addition to those announced in April recently, which was aimed at promoting a manufacturing boom. According to estimates released by the World Trade Organization and International Monetary Fund, the average US tariff rate since 1910 has increased the rate of 20.1%.
The markets have also seen a large extent the possibility of tariff-inspired recession, with the S&P 500 28% increase since the beginning of April. Bitcoin, major cryptocurrency by market value, has increased from $ 75,000 to $ 122,000, 62% increase in four months, coindesk data shows.
According to JP Morgan, traders are focusing on flexible corporate income and expected economic reforms after interim recession.
More than 80% of the S&P 500 companies have recently reported their second quarter earnings, with more than 80% of the expectations and 79% revenue forecasts. This is the strongest performance in four years.
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