Morgan Stanley: S&P 500 Non-Tech Sectors to Drive Earnings Growth as Q2 Season Opens Tuesday

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According to Morgan Stanley strategist Michael Wilson, the second quarter earnings season will open Tuesday, with non-tech sectors expected to deliver strong results alongside technology giants. Median S&P 1500 stocks show earnings-per-share growth exceeding 10%, marking the best performance since the pandemic recovery, while analysts project S&P 500 net profits will jump 23% in Q2—among the strongest results on record outside major recession recoveries. The S&P 500 Equal Weight Index has also outperformed the market-cap-weighted index for the first time since 2022, signaling broader market participation beyond technology stocks.
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