American companies with one of the highest profit growth rates in history

The New York Stock Exchange's S&P 500 index reached a historic milestone on Thursday, surpassing 7800 points for the first time. This marked a significant rise over the past week, with the index gaining 0.4 percent. The performance was driven by exceptional corporate earnings reports from American companies, which saw average earnings per share increase by 50 percent compared to the same period last year. These figures represent one of the highest growth rates in corporate profits in history. European firms have also shown robust performance, with German companies reporting profit increases of nearly 16 percent. Analysts suggest that these developments could lead to upward revisions of stock market indices' target values, as investors grow more optimistic about economic conditions. Over the past week, the S&P 500 has continued its upward trajectory, achieving three consecutive weekly gains. On Thursday, the index hit a new record high, reflecting investor confidence bolstered by recent economic data indicating a slowdown in inflation. The Consumer Price Index (CPI) and Producer Price Index (PPI) both showed signs of easing price pressures, reducing the likelihood of further interest rate hikes by the Federal Reserve. Additionally, weaker-than-expected labor market data contributed to a more favorable investment climate. Positive earnings reports from major corporations have further fueled this optimism. A Norwegian investment fund, established in 1990 to diversify income from domestic oil production, reported an extraordinary profit of 160 billion euros during the first half of the year. The total value of the fund now exceeds two trillion euros, with investments spread across approximately 7000 companies in over 50 countries. Notably, the fund holds a 0.05 percent stake in SpaceX, valued at just over one billion euros. This success underscores the global reach and influence of such investment vehicles, which play a crucial role in shaping financial markets worldwide. Inflation in the United States remained at a yearly level of 3.4 percent in July, according to the CPI. However, the PPI showed a slight decline in monthly terms, while maintaining a 4.7 percent annual increase. The Federal Reserve is set to meet in mid-September, but attention will also focus on potential hints regarding future monetary policy at the Jackson Hole symposium scheduled for August 27 to 29. These gatherings often provide insights into central banks' strategic directions, influencing market expectations and investor behavior. Corporate earnings season in the United States is drawing to a close, with nearly 90 percent of S&P 500 companies having already released their quarterly results. The average increase in earnings per share stands at 50 percent, far exceeding historical averages. While this figure suggests a potentially record-breaking quarter, it should be noted that part of this growth, approximately 17 percentage points, is attributed to one-time accounting gains. Despite this nuance, the overall trend indicates a strong performance by U.S. corporations, contributing significantly to the buoyant mood on Wall Street. On the Ljubljana Stock Exchange, the SBITOP index faced a temporary setback, declining for the seventh consecutive day in the past eight trading days. However, the index managed to lose only two percent over this period. Since March 20, the SBITOP has not recorded a daily loss of more than one percent, highlighting the resilience of the domestic stock market amid broader global fluctuations. This stability reflects the positive sentiment prevailing in local financial circles, supported by solid corporate performances and cautious optimism about macroeconomic indicators.