No question … company earnings have been impressive. The S&P 500 recorded the highest year-over-year earnings growth in over a decade in the second quarter. In fact, company earnings have been the key driver of index returns this year, accounting for the lion’s share of S&P 500 total return, as shown in the chart below. {chart} This leads some to worry that an earnings downshift in the quarters ahead will weigh on market performance. We remain optimistic in our medium-term outlook for U.S. stocks and would offer three considerations when it comes to the earnings outlook: This is not a normal cycle. The switch on the ... (full story)