High Hopes for Fourth-Quarter Earnings
Investing.com - Even before Delta Air Lines (NYSE:DAL), JP Morgan Chase (NYSE:JPM) and other U.S. companies beat earnings estimates for the fourth quarter, there was reason for optimism.Earnings for the quarter are forecast to increase 10.5%, according to Fact Set, the best performance since the first quarter of 2017.What's more, all 11 sectors in the S&P 500 are expected to show gains. Leading the pack will be energy, The weakest sector will be be telecoms. One key element to look for is one-time tax charges, resulting from the massive tax cut package signed into law late last year. Under the plan, U.S. companies will pay a one-time tax of 15.5% on profits held overseas..Chase, for one, elected to take advantage of the change, taking a $2.4 billion charge in its fourth quarter.Other companies, such as Goldman Sachs (NYSE:GS) and biotech giant Amgen (NASDAQ:AMGN), have said they plan to do so