U.S. Business Cycle: Private Non-farm Employment, Corporate Profits and Employee Compensation This chart highlights the decline in corporate profits and rising wages, one characteristic of the late stage of the business cycle. Image: Fidelity Investments
U.S. Corporate Profits and S&P 500 Corporate profits have mostly been flat over the past five years. Is a new bubble being formed? Image: Oxford Economics, Macrobond
Global Nominal GDP and Corporate Profits This chart shows the correlation and the slowdown in global growth and corporate profits. Historically, margin pressures have preceded the start of recessions. Image: J.P. Morgan
S&P 500 Operating EPS vs. USA National Income, Corporate Profits Thanks to buybacks, this chart clearly shows the current divergence. Is a new bubble being formed? Image: Nordea and Macrobond
U.S. Corporate Profits, Capital Expenditures, Dividends and Buybacks What would happen if U.S. companies reinvested instead of buying their own shares and paying dividends? Image: Financial Times
Japan Corporate Profits Leads MSCI World EPS This chart suggests that Japan corporate profits leads MSCI World EPS by 7 months. Image: Nordea and Macrobond
S&P 500 and NIPA Corporate Profits After Tax S&P 500 rose relative to NIPA corporate profits after tax, thanks to buybacks. Image: Morgan Stanley
U.S. Yield Curve Leads Corporate Profits This chart suggests that the U.S. 10-year less 3-month yield curve leads corporate profits by two years. Image: Oxford Economics, Macrobond
S&P 500 EPS vs. U.S. Nonfinancial Corporate Profits Creative accounting is imaginative ways to present accounts. The divergences between earnings and U.S. nonfinancial corporate profits occur before recessions. Image: Gavekal, Macrobond
Equity Market Driven by Bonds Not Profits The chart shows a widening gap between cyclicals and bond proxies. It is clearly a cyclical bear market within a bull market, as during the dotcom bubble. Image: Societe Generale Cross Asset Research
