When big companies reported first-quarter earnings in April and May, strong results ignited a stock-market tear. Midway through the second-quarter reporting season, earnings are similarly impressive. Yet stocks are sagging.
What’s the problem?
Five discrete forces are dragging down stocks. They might prove fleeting, or they might stick around for a while. For now, the mood is gloomy. The S&P 500 index was down slightly for the week, and it has fallen 2.5% since June 1.
Here’s what’s weighing on markets.