Why Is the Market Hitting New Highs?

The video discusses the current earnings season, noting that while earnings are still declining, the rate of decline is slowing. It highlights the impact of financial engineering, such as buybacks, on earnings quality. The discussion also covers factors influencing earnings growth and market valuation, emphasizing the importance of looking at the second derivative of earnings changes. The market's current valuation may be higher than perceived due to these factors.

In what ways have buybacks affected the reported earnings per share for the S&P?

What does the speaker suggest about the future of the market based on current earnings growth?