WEEKEND ECONOMIST: Earnings optimism

Better-than-expected earnings results continue to roll in from the US and Europe. Meanwhile, Australia's latest inflation figures signal that the RBA will keep rates steady.

The past week has seen more better-than-expected data out of Europe, but mixed data out of the US. While US earnings results have softened a bit in the last week, they have still been strong, with 75 per cent of the companies to have reported so far exceeding expectations. And while cost control has played a big role, 67 per cent of companies have so far surprised on the upside in terms of revenue growth.


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