No Recession In Earnings Or In Disinverting Yield Curve

Corporate earnings have never been higher, suggesting that employment should continue to grow as profitable companies expand their payrolls. Today, Ed and Eric put the prospect of a recession into perspective with their “Credit Crisis Cycle.” Ed notes that S&P 500 companies’ record-high forward earnings is a bullish indicator for the stock price index. The S&P 500 forward profit margin is near its record high and expected to hit new highs in the productivity growth boom we project, our Roaring 2020s scenario. … Eric explains why this time, a disinverting yield curve is not signaling an imminent recession as it has in the past. Other relied upon recession indicators are flashing false signals as well. … Dr. Ed favorably reviews “Pachinko” (+ + +).