U.S. Earnings Upgrades to Fuel Year-End Stock Rally, Nomura Says

By Stephen Kirkland

Oct. 19 (Bloomberg) -- U.S. earnings in the third quarter will probably beat consensus expectations, resulting in upgrades that should support a further rally to year-end, according to Nomura Holdings Inc.

“We are raising our expectations for U.S. earnings to 30 percent for 2010, year-on-year growth in operating earnings” for the Standard & Poor’s 500 Index, Nomura wrote in a report dated Oct. 16. “This would equate to $75 for operating earnings for the S&P.”