Stock markets snap losing skid, thanks to optimism on earnings
Stocks gained Tuesday, with the Standard & Poor’s 500-stock index rising from a 10-month low, amid speculation that growth in corporate earnings will help stocks rebound from their lowest values since last year’s bull market began. The Dow Jones industrial average gained 0.6 percent to snap a seven-day losing streak, its longest since the financial crisis in 2008.
Analysts are raising earnings estimates for U.S. companies at the fastest rate since at least 2004. Profit for companies in the S&P 500 will jump 34 percent this year, according to more than 8,000 estimates compiled by Bloomberg News, compared with a projected gain in March of 27 percent.