4 min read

🔥 Earnings Are on Fire, but Investors Don't Give a Damn

Today we’ll sift through the first earnings reports to get a little insight into where the market stands. I’ll also touch on investors’ weird response to earnings—which hints at the expectations baked into today’s record valuations.
🔥 Earnings Are on Fire, but Investors Don't Give a Damn

Last week, I ran into full-on hail and got sunburned all in the same day. If you live anywhere in a temperate climate zone, you probably can relate to this meteorological joie de vivre of spring.

I feel pretty much the same about the markets right now. They’re muddling through their own “temperature changes.”

2021 kicked off with a boom in “reopening” stocks. The market was so obsessed with recovery I didn’t hear a single Wall Street analyst root for tech. But in March, the tide turned. Covid-driven stocks picked themselves back up and “reopening” stocks stalled out.

So today we’ll sift through the first earnings reports to get a little insight into where the market stands. I’ll also touch on investors’ weird response to earnings—which hints at the expectations baked into today’s record valuations.

Let’s dig in.

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