Category: Blog

S&P 500 Earnings Estimates Morgan Stanley’s projections of $271 and $303 for S&P 500 earnings per share in 2025 and 2026, respectively, indicate a positive market outlook. Image: Morgan Stanley Wealth Management

S&P 500 Performance When >2% YTD Return in January Bulls have reason to smile: historically, when the S&P 500 index rises more than 2% in January, it’s a good omen. Since 1951, such starts have led to average annual returns of 18.4%, with positive years 88% of the time. Image: Carson Investment Research

U.S. Heavy Truck Sales and Recessions U.S. heavy truck sales fell in December to 422K (annualized). Before recessions, heavy trucks sales tend to peak and then decline, providing insights into the overall health of the U.S. economy as a leading economic indicator. Click the Image to Enlarge

Seven Largest Companies as Share of S&P 500 Total Market Capitalization The seven largest stocks in the S&P 500 index account for 33% of its total market capitalization. While this high concentration doesn’t necessarily predict market downturns, it can potentially lead to increased volatility. Image: Goldman Sachs Global Investment Research

Magnificent Seven and S&P 500 – 12-Month Trailing EPS The Magnificent 7’s future growth is expected to moderate after their exceptional recent performance. While they will remain key market leaders, their rate of expansion is likely to slow down in 2025. Image: Goldman Sachs Global Investment Research

ISABELNET Cartoon of the Day The S&P 500 index soared 2.70% in January, which tends to be a reliable predictor of positive returns for the entire year, giving bulls reason to celebrate! Have a Great Weekend, Everyone! 😎

U.S. Bitcoin ETF Flows U.S. Bitcoin ETFs have drawn substantial inflows in January 2025, marking a strong start to the year. With accelerated institutional adoption and a more crypto-friendly political environment, the trend is likely to continue. Image: Bloomberg

Fear & Greed Index – Investor Sentiment A Fear & Greed Index of 46 points to a neutral investor mood, suggesting that market participants are neither overly fearful nor excessively greedy. Image: Cable News Network

Seasonality – Monthly Return Stats for the S&P 500 February’s stock market behavior has historically been flat on average, with a reputation for volatility and unpredictability, making it a challenging month for investors to navigate. Image: Topdown Charts

Returns – Magnificent Seven vs. European Banks European banks have outperformed the Magnificent Seven since January 2022. This outperformance is particularly noteworthy given the historical dominance of U.S. tech giants in global markets. Image: Goldman Sachs Global Investment Research

Stock Buybacks vs. S&P 500 Stock buybacks strongly correlate with S&P 500 performance by improving financial metrics, boosting confidence, and driving stock prices higher. In 2025, companies are expected to hit $1 trillion in share repurchases. Image: Real Investment Advice