Earnings Up, Market Down: Keys to your Trading Day

The market is behaving strangely. Or is it?
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The earnings reports in the last two weeks -- and there have been tons of big ones -- have been strong almost across the board. Caterpillar (CAT) - Get Report , an industrial reported strong earnings. Amazon (AMZN) - Get Report , a tech behemoth beat earnings expectations. Banks beat on expectations almost across the board. Companies are even issuing descent guidance. And yet the broader market has tanked. he key questions centers on whether or not we're at the peak of the economic cycle. If we are, 2019 is unlikely to be a solid year in the economy. The Federal Reserve's rate hike may soon impact demand, and there will be more rate hikes to come. The strong U.S. dollar is hurting some companies, like Colgate-Palmolive (CL) - Get Report , who just missed international sales estimates because of the dollar. Tariffs may put pressure on the margins of companies like Caterpillar. 

At any rate, Alphabet, parent company of (GOOGL) - Get Report , had a descent earnings report Thursday, but fell more than 4% in pre-market trading Friday. Alphabet is TheStreet's RealMoney stock of the day, which Kevin Curran will be reporting on all day. Big tech stocks have fallen hard of late as the Nasdaq has entered correction territory, although Google's story going forward includes heavy investments in new businesses like its driverless car unit. 

There's more analysis of the broader market, and why it's behaving the way it is in my newsletter here

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