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Analysts expect that earnings from companies in the S&P 500 grew 28% in the third quarter from a year earlier—a time when businesses were working to recover from the effects of the pandemic.
But as countries emerge from the restrictions of the pandemic, bottlenecks in global supply chains are leading to shortages of the components needed to produce finished goods. A jump in costs for raw materials is also pressuring manufacturers’ bottom lines.
In recent weeks, investor anxiety over inflation, rising government bond yields, and potential ripple effects from China Evergrande Group’s missed debt payments have sent major indexes oscillating.
Investors Watch for Rising Costs in Earnings This Week
by Karen Langley
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