Stocks are courting a nasty surprise on earnings

The market is on edge heading into the next Fed monetary policy decision. (Image: Bloomberg)

Tue, 20 Sep 2022

By Jonathan LevinWall Street analysts have trimmed their overly optimistic earnings estimates slightly in recent months, but they’re still nowhere close to acknowledging the threat of a recession. That leaves the market especially vulnerable if other companies follow FedEx’s move to withdraw its profit guidance by lowering their own outlooks.FedEx’s decision late on Thursday sent its shares tumbling the most since 1980 and came amid a growing disconnect between the macroeconomic outlook and analysts’ earnings projec...

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