Is the U.S. stock market rally set to continue? HSBC strategists say strong corporate earnings are sufficient to offset geopolitical risks

He emphasized in an interview that although it has taken longer than usual for the market to move past volatility triggered by conflicts, attention has now returned to the factors that ultimately drive stock prices: corporate earnings. The strategist highlighted that since early March, corporate earnings have grown by over 3%, with the technology sector contributing about three-quarters of the increase. Given that artificial intelligence and the technology sector now account for nearly 50% of the S&P 500’s market capitalization, Kettner believes that the outlook for these sectors is far more important than headlines about international conflicts.