April 2013 Intelligent Investor Part 3 Opening Statement

Get ready for Dow Jones 15,000 because it’s coming, and soon. Earnings continue to shine while the U.S. economy remains stagnant. But earnings are also pretty good in many regions of the world where the economy is much more stagnant, such as in Europe and Asia.

The consensus for Q1 earnings growth currently comes in at about 0.05% decline, which leaves a great deal of upside for the stock market if earnings come in at a modest 2% growth rate for the quarter. We feel earnings will in fact meet if not exceed this growth rate.