The S&P 500 index has clawed its way back to flat on the year, following what had been a 6 percent decline earlier this month. Now that we've survived the experience and are wrestling with what to do next, one singular question dominates the discussion: Are stocks cheap?
Wells Fargo & Co.’s Gina Martin Adams and Barclays Plc’s Barry Knapp cut their forecasts for the Standard & Poor’s 500 Index this year, citing economic uncertainty and a potential decline in earnings estimates.
U.S. stocks fell a third day and the gauge for emerging-market shares dropped to a four-month low while the yen gained with Treasuries as data showed growth in the services industries in America and China slowed.
The Standard & Poor’s 500 Index will fall 1.8 percent to 1,390 by the end of 2013 as global growth slows and policymakers struggle to reach a budget agreement, according to Wells Fargo & Co.’s Gina Martin Adams.
U.S. companies are beating analysts’ earnings projections by the smallest margin since 2008 and most forecasts have trailed estimates in what investors should consider “warning signals,” according to Wells Fargo & Co.
Forecasts for energy industry earnings and the price of oil are too high and the companies’ stocks will “bear the brunt” of concern the economy is slipping into a recession, according to Wells Fargo & Co.