Stocks Often Rise When Earnings Are Falling

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		Tech Science Entertainment Wall Street Markets Strategy Sports Lifestyle Politics Law International Video Latest Wednesday, August 8, 2012 Stocks Often Rise When Earnings Are Falling Investors have recently been pessimistic on the U.S. stock market and pointed to the fact that slowing economic growth is impacting corporate earnings. But BMO's Brian Belski notes that "S&P 500 earnings are not U.S. GDP". And even when S&P 500 earnings fall, stocks often do well. He draws our attention to this cool chart which looks at stock market performance from 1950 - 2011 to illustrate his point. The red box references the following years - 1951, 1952, 1961, 1967, 1975, 1980, 1982, 1985, 1986, 1989, 1991, and 1998. The average EPS growth for these years was -6.6 percent, but the average return was a staggering 22.1 percent. Read » Also On Money Game Today: How The Gambling Industry Is Helping Pay The Bills In 13 US States This Friday's USDA Corn And Soybean Report Will Be 'Epic' These 30 Cars Determine The Fate Of The US Auto Industry DAVID ROSENBERG: The Last Two Times Export Orders Collapsed Like This, We Were In A Recession Advertisement CHART OF THE DAY: The World's Stock Markets Are Holding Hands Again CHART OF THE DAY: Economist Calls This The 'Spooky Chart Of The Decade' CHART OF THE DAY: The Scariest Jobs Chart EVER Share this: Facebook Twitter Digg Reddit StumbleUpon LinkedIn The email address for your subscription is: dwyld.kwu.jobhuntportal11@blogger.com Change Your Email Address | Unsubscribe | Subscribe | Subscribe to the Money Game RSS Feed Business Insider. 257 Park Avenue South, New York, NY 10010 Terms of Service | Privacy Policy

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