This is a very interesting approach to measuring market drivers. Very curious to understand how you isolate the movement associated with earnings and earnings expectations. I reckon one could look at company earnings releases, and then assign their individual forward market multiple to the delta in both numbers. Everything else would be valuation. But if history is a guide, you might be doing something far more sophisticated than that?
This is a very interesting approach to measuring market drivers. Very curious to understand how you isolate the movement associated with earnings and earnings expectations. I reckon one could look at company earnings releases, and then assign their individual forward market multiple to the delta in both numbers. Everything else would be valuation. But if history is a guide, you might be doing something far more sophisticated than that?