Morgan Stanley expects US stock market gains to spread to other industries

Morgan Stanley strategists say that apart from tech giants, other US stocks are expected to announce strong performance during this earnings season. The team led by Michael Wilson pointed out that the median earnings per share growth rate of companies in the S&P 1500 Composite Index exceeded 10%, which is the best performance since the post pandemic recovery. Analysts are raising their profit expectations for the optional consumer and transportation industries. The second quarter earnings season will kick off on Tuesday, and large banks will be the first to announce their performance. Analysts predict that the profits of companies in the S&P 500 index will increase by 23%.