By Nicolas Bickel, Group Head of Investment Private Banking & CIO
The second-quarter earnings season is drawing to a close and has clearly been very strong. The 30% year-on-year increase in S&P 500 earnings in the United States and the 23% rise in earnings for the Euro Stoxx 600 in Europe have, for the time being, pushed into the background the renewed hostilities around the Strait of Hormuz, persistent inflation, rising sovereign yields and uncertainty ahead of the US midterm elections.
Investors have indeed been reassured by the resilience of the global economy and companies’ ability to sustain a high pace of earnings growth, enabling equity markets to continue rising since the end of July.
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