lpl financial market signals podcast

Strong Third-Quarter Earnings Could Follow Stock Drop | LPL Financial Market Signals Podcast

LPL Financial

LPL Financial research strategists, John Lynch and Ryan Detrick, discuss signs for strong third-quarter earnings and a year-end rally following the stock drop in this mid-October podcast.

We strongly believe fundamentals are sufficient to withstand this recent bout of volatility.

- John Lynch – Chief Investment Strategist at LPL Financial

Subscribe to the Market Signals podcast series on iTunesGoogle PlaySpotify, or wherever you get your podcasts.

Last week stocks had their worst week since February and put in a mixed performance out of the gate Monday morning. In this week’s podcast, LPL Research’s strategists discuss why they think the odds are still strong for a year-end rally.

Both the S&P 500 and Dow fell more than 4 percent last week, while the Nasdaq dropped 3.7 percent. The S&P 500 also posted a third consecutive weekly loss—its longest such streak since June 2016—as investors remained concerned over rising US interest rates and geopolitical tensions. From a historical perspective, however, the recent volatility isn’t that unusual for the month of October. Third-quarter earnings are also looking strong, and there are signs that this could be the third consecutive quarter of 20% or greater earnings growth.

Tune in to the full podcast to learn more about the LPL strategists’ perspectives on what they see as a continuing bull market. 


Corrections are quite normal, even in bull market years. We have seen three 5-10% corrections so far this year, which is right in line with an average year.


The S&P 500 found support right at its 200-day moving average, a trend line which has provided support for more than two years now.





The opinions voiced in this material are for general information only and are not intended to provide specific advice or recommendations for any individual security. To determine which investment(s) may be appropriate for you, consult your financial advisor prior to investing. The economic forecasts set forth in this material may not develop as predicted.

All indexes are unmanaged and cannot be invested into directly. Unmanaged index returns do not reflect fees, expenses, or sales charges. Index performance is not indicative of the performance of any investment. All performance referenced is historical and is no guarantee of future results.

Investing involves risks including possible loss of principal. No investment strategy or risk management technique can guarantee return or eliminate risk in all market environments.

The modern design of the S&P 500 stock index was first launched in 1957. Performance back to 1928 incorporates the performance of predecessor index, the S&P 90.

This research material has been prepared by LPL Financial LLC.

To the extent you are receiving investment advice from a separately registered independent investment advisor, please note that LPL Financial LLC is not an affiliate of and makes no representation with respect to such entity.

The investment products sold through LPL Financial are not insured deposits and are not FDIC/NCUA insured. These products are not bank/credit union obligations and are not endorsed, recommended or guaranteed by any bank/credit union or any government agency. The value of the investment may fluctuate, the return on the investment is not guaranteed, and loss of principal is possible.



For Public Use — Tracking #: 1-782113