Morgan Stanley’s Wilson Sees S&P Profit Boom Despite Iran War

Sell-side strategists have been boosting their profit outlooks, defying concern over soaring oil prices and a potential hit to consumer demand. Earnings in the S&P 500 Index are expected to rise 20% in the next 12 months, data compiled by Morgan Stanley show. Historically, the reading was higher only when the economy emerged out of recessions. Optimism over corporate earnings - the cornerstone of US equities’ bull-market run for most of the past decade - partly explains the S&P 500’s resilience in the face of intensifying fighting in the Middle East. The view is giving bulls reason to remain constructive on US stocks despite growing geopolitical risks, artificial intelligence disruption and private-credit stress. https://finance.yahoo.com/news/morgan-stanley-wilson-sees-p-112848186.html