Bloomberg Surveillance · Wednesday, July 15, 2026
Corporate earnings are demonstrating margin expansion at the fastest rate seen in decades, significantly surpassing initial expectations for the year. This trend is expected to be a hallmark of the current earnings season, indicating a strong growth environment.
“To put this into perspective, we came into this year expecting margins to grow at a kind of five percent clip that's been the average since COVID. That was too low. Then we said, well, maybe it's the six percent that we've seen that we saw during the entirety of the dot com boom that's proven to be too low. We're growing at something like nine percent on a year or a year basis. That is the fastest in our lifetime. And I think this earning season is going to be a kind of poster child for that. This is a big growth corner.”