Without Big Tech, US Earnings Power Is Languishing
Nearly all the profit margin growth has come from booming technology companies.
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Wall Street is trying to figure out just how vulnerable the US stock market is to a trade war.
The track record of S&P 500 Index companies over the past two decades suggests their ability to withstand additional levies is fragile, at least by one measure. Nearly all of the margin growth eked out from corporate sales on the gauge since 2004 has come from the booming technology sector, according to Bloomberg Intelligence. Removing the group, profitability barely rose.