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It’s all about EARNINGS

Want to know where the market is headed?  Ignore the talking heads.

It’s all about earnings (see below chart).  The stock market is correlated to corporate earnings, it’s that simple.  Sometimes it lags, sometime it leads, but over the long term they march together in lock step.

So if you want to know where the market is going, pay attention to earning expectations.  Earnings have been in decline and the market is now following.

Invest with caution.

Its all about earnings

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