For the past three years, through hurricanes, record oil prices and steadily climbing interest rates, one thing has supported the U.S. stock market: Companies have been making money hand over fist. The second quarter will likely see more of the same, with companies in the Standard & Poor's 500 index forecast to generate earnings growth of 12.3%, according to Thomson Financial. That would be the 12th consecutive quarter of double-digit profit gains -- a run that's only been bettered once since 1950.
The second quarter will mark the peak in earnings momentum for the next several years," he said. "There's lots of anecdotal evidence about weakening consumer demand, and I think it's going to get worse.
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