Rattled Bulls Look to Strong Earnings Outlooks as Market Wobbles

The labor market still looks shaky, going by private data and a spate of layoffs. Federal Reserve officials are signaling they might not cut again this year as the threat to inflation from tariffs persists. Fresh off profit growth of 15% in the third quarter, profit guidance momentum, a measure of the share of S&P 500 members that lifted their earnings outlooks compared to those that maintained or lowered views, has climbed to the highest level since 2021, according to data compiled by Bloomberg Intelligence.