Stock Market Selloff Is 'Unspooling' of Trump Trade, Eddy Elfenbein Says

The video discusses the current earnings season, highlighting that while many companies are beating expectations, the market is reacting negatively due to weaker revenue forecasts. Amazon's earnings are used as a case study to illustrate this trend. The discussion also covers the reduction in forward earnings estimates, particularly in staples and utilities, and the market's tendency to sell off cyclical stocks. The video concludes with a comparison to the post-2016 election market rally and the current volatility, emphasizing the importance of the 200-day moving average as a volatility indicator.

What has been the general trend of earnings expectations during the current earnings season?

How did Amazon's earnings report impact its stock price despite beating expectations?

What does the reduction of forward earnings estimates indicate about the market's expectations?

In what way does the current market behavior reflect the aftermath of the Trump election rally?

Why is the current reduction in forward earnings estimates considered an anomaly for this year?