Third quarter starts with earnings trends largely intact, but nascent signs of trouble in tech land

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Third quarter starts with earnings trends largely intact, but nascent signs of trouble in tech land
Stock MarketsInvestment StrategyNVIDIA Corp
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We have a deceleration in big-cap tech earnings and clear signs the consumer wants lower prices.

The third quarter starts on Monday with corporate earnings trends largely intact, but showing early signs of trouble in tech land. The S & P 500 will end the second quarter up about 4%. The good news: for the big-cap tech companies that are truly dominating the market earnings trends are continuing to rise.

Eighteen companies have reported earnings so far, and Nike , Walgreens , Micron , Levi Strauss , FedEx and General Mills were among the companies that gave outlooks that failed to impress Wall Street. Companies like Southwest Airlines and pool supply distributor Pool Corp. unexpectedly warned of weak results ahead too. One other warning sign: consumer-facing companies are already warning about significant pushback on price hikes.

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