Opening Statement from the May 2020 Dividend Gems

Opening Statement from the May 2020 Dividend Gems

Originally published on May 17, 2020

For the US, Q1 2020 GDP was reported at -4.8 percent. We believe Q2 GDP data will easily surpass the –8.4 percent collapse (final revised data) reported in Q4 2008 (note that the GDP data will be revised for many years before the real numbers are known).

Moreover, it should be apparent that corporate earnings growth for the full 2020 year will post large declines. The earnings recession in US stocks ended by Q4 2019 but is guaranteed to resume once Q1 and Q2 earnings have been reported...