The Tired Rally That Refuses To Die
We’ve talked a lot about the likelihood of a US recession over the past couple of days (see here and here) - probably not exactly what everyone wanted to hear over the holiday weekend. It’s not so much that we want to come across as doomsayers. Rather, the point is to assess the extent to…
Margins Or Buybacks: What’s Really Driving S&P EPS Beats?
While perusing FactSet’s “Thought Leadership” section on Friday I ran across something interesting. There’s a narrative out there about buybacks that’s been propagated by a variety of outlets over the past 12 or so months that ties ZIRP and share repurchases to equity strength. To be sure, it’s a compelling argument. Here’s how it goes.…