Earnings estimates are back near record levels again. This wave of excitement seems quite excessive and completely unwarranted. Citigroup analysts are already donwgrading earnings estimates, so they can beat them.

Earnings estimates are back near record levels again.
 
This wave of excitement seems quite excessive and completely unwarranted.
 
After reaching over 90% of yield curve inversions in the US Treasury market, the risk of a full-blown economic recession remains significant for… pic.twitter.com/jML58pdg6B

— Otavio (Tavi) Costa (@TaviCosta) March 31, 2023

Citigroup analysts are already donwgrading earnings estimates, so they can beat them. pic.twitter.com/klarcaiTBu

— Alessio (@AlessioTMAD) March 31, 2023

Therefore, given that earnings are a function of economic activity, valuations are an assumption of future earnings. Therefore, asset prices must reprice lower for earnings risk, particularly during a banking crisis.https://t.co/8laUHco2GQ pic.twitter.com/1jnKk9OMDR

— Lance Roberts (@LanceRoberts) March 31, 2023

The FED is trying to trigger an economic recession.. bullish for tech 😂 pic.twitter.com/GLkBPYrlnY

— Alessio (@AlessioTMAD) March 31, 2023

“Microsoft, $MSFT, was paying $90 an hour for contractors during the height of job hiring in 2021, and now you’re routinely seeing $45 an hour for someone with PhD experience,” per Bloomberg.

— unusual_whales (@unusual_whales) March 31, 2023

The saving rate plunged to historic lows last year as Americans saved less to keep spending. Now, it's creeping back up — maybe a sign that households are exhausting excess savings, or are getting nervous about a recession? pic.twitter.com/uW2pg0Oj9M

— Ben Casselman (@bencasselman) March 31, 2023