Earnings Jump a ‘Low Bar’ and The Risk of Dollar Intervention
Earnings Jump a ‘Low Bar’ and The Risk of Dollar Intervention
Second quarter earnings season has officially begun. This week, the biggest banks set the stage for what could mark the S&P 500’s first quarterly profit decline in three years. Will underwhelming results be enough to spur further gains in equities this year? Evan Brown, head of multi-asset strategy at UBS Asset Management, and Bloomberg finance reporter Lananh Nguyen, join Sarah Ponczek and guest co-host Chris Nagi on this week’s “What Goes Up” podcast to discuss. To sum up Wall Street’s numbers, it’s “Main Street good, trading bad,” says Nguyen.
Also on the episode, a look at U.S. dollar policy with the possibility of intervention in the headlines. Treasury Secretary Steven Mnuchin said there’s no change in America’s currency policy “as of now,” but the fact those words are even being used is “really stunning,” says Brown. “I do think there has to be some risk premia placed in the dollar given that U.S. dollar policy may be changed.” As always, stick around to hear about some of the craziest things that happened in markets this week!
To contact the editor responsible for this story: Topher Forhecz at tforhecz@bloomberg.net
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