As the Hong Kong protest continue, they have less of an impact in our stock market. What happened there yesterday, it has certainly set the tone for trading in the United States.

Two protesters have been shot and are in critical condition.  It’s unclear what happens next, but violence was also the wild card. Many believe China officials are looking for an excuse to quell the protests, which has become a global embarrassment for the country and its Communist government.

In addition to the world watching this development, China has shown a growing appetite to end the trade war with more positive overtures and offers. 

Americans support the efforts of the protestors in Hong Kong, but there is very little that we can do to help them.

Earnings Season

Forget about consensus and consider the actual financial results. This earning season has been very impressive, considering we are going against the greatest quarter of corporate earnings in history.  Excluding the harsh impact of energy, which is at the mercy of the vagaries of oil prices, it been a strong earnings period.

446 companies reported

Revenue

• 58% beat
• 3.9% blended average gain
• 5.3% blended gains ex-energy

Earnings

• 74.2% beat
• -0.5% blended average loss
• +2.1% blended average gain ex-energy

There have been 44 earnings warnings and 17 increased earnings guidance for the current quarter.

The S&P 500 forward PE is now 17.8.

16 S&P companies are reporting this week.

Happy Veteran’s Day and thank you for your service and God Bless America.