This week is important for the investors not only because of signing Phase one deal between America and China. Investors are waiting for quarterly reports of the American companies which can support or change current positive sentiment on the market. Analysts expect meeting expectations and maybe positive surprises.
First quarter of 2019 was supported by declining of main interest rates 3 times. Because of that price of the companies raised 14 to 19 times compared to their earning.
Current problem of the American economy could be low unemployment which press wages up are downgrade profitability of the companies. We can expect that the worst will be sector of retail sales which fell 14% in one year.
One the other side investors expect growth of technology sector. Expectation is that their profitability by 9% and revenues by 4% comparation to published loss in 4Q 2019.