What If Corporate Earnings Have Topped Out?

What If Corporate Earnings Have Topped Out?

Via Charles Hugh-Smith of OfTwoMinds blog,

The market may have reached cyclical highs in corporate earnings. That does not bode well for additional stock market advances.

If corporate earnings have topped out, what will push the stock market higher?The usual answer is "central bank intervention," but history suggests that in the long run, the market eventually correlates to corporate earnings. Earnings up, market up; earnings down, market down.

Frequent contributor B.C. recently shared some insightful charts of S&P 500 (SPX) earnings. Here are B.C.'s comments on the first chart:

http://newsdoors.blogspot.com/2013/01/what-if-corporate-earnings-have-topped.html