Below are charts and analysis from Hedgeye CEO Keith McCullough on sector performance and quarterly earnings. It's not pretty.
Year-to-date sector performance...
"Get the macro call on growth right, you get rates and sector styles right – Financials (XLF) down to -14.4% YTD vs. Utes (XLU) up (again) on the day yesterday to +7.6% YTD – overbought, yes – but we’re staying w/ this TREND long/short call."
S&P 500 Quarterly Earnings...
"Get corporate profits (slowing to negative y/y) and credit spreads right, you’ve gotten a lot of other things right - with 335/500 companies reporting SP500 Revs -4.4% y/y and EPS -6.2% y/y (only 3 of 10 sectors have + EPS growth y/y)"
Keep your head up and stick with us. Macro markets are getting ugly.