- MacroVisor
- Posts
- Breakfast Bites - Tensions create risk-off as US markets await bank earnings
Breakfast Bites - Tensions create risk-off as US markets await bank earnings
Earnings Season kicks off; China lower again; Taiwan elections tomorrow; UK monthly GDP higher
Ayesha Tariq
January 12, 2024
Rise and shine everyone.
It’s a big day today for the US markets as we kick off earnings season for the fourth quarter of 2023. As we’ve already discussed (in the Weekend Edition) estimates have been revised lower for EPS growth but, we’re still going into this earnings season with a positive growth estimate. In some ways, that sets a high bar for earnings.
We kick off today with the banks. With rate cut bets heating up for the year, we will have interesting commentary - on the one hand, banks have been over-earning on their interest income (lending at higher rates and taking deposits at lower), and on the other hand, the lower rates will mean an improvement in the unrealized losses that we’ve all been talking about.
Subscribe to Premium to read the rest.
Become a paying subscriber of Premium to get access to this post and other subscriber-only content.
Already a paying subscriber? Sign In.
A subscription gets you:
- • Ideas - Macro Thematic Ideas for Trading and Investing
- • Themes - Exclusive Long-Form Thematic Research, Identifying Trends and Opportunities
- • Portfolio - Long-Term Foundational Investing Picks
- • Weekly Dashboard - Outlook on the Markets and Asset Classes - US, Developing Markets, Emerging Markets, Commodities, FX
- • Breakfast Bites - Analysis of developments around the world and their potential impacts on the economy and markets
Reply