Analysis: U.S. Corporate Earnings Expectations End 23-Week Streak of Upgrades as Inflation and Rate Risks Intensify

Odaily News: As market concerns grow that rising inflation and interest rates will erode corporate profits, stock analysts have turned net bearish on the U.S. corporate earnings outlook for the first time in months. A Citigroup index shows that the number of analysts cutting earnings estimates has exceeded the number raising them for the first time in 23 weeks, ending the longest streak of earnings upgrade revisions since September 2021. Morgan Stanley strategist Michael Wilson warned earlier this week that if stock valuations continue their recent downward trend while further increases in energy prices prompt tighter monetary policy, the S&P 500 could face a decline of as much as 7%.