+13% equity returns year-to-date for U.S. large caps were driven by improving earnings prospects for the highly profitable technology sector, which constitutes over 27% of the stock market’s capitalization. The highest bond yields in over 15 years bode well for future fixed income total returns, with investment grade municipal bonds paying out 8% to 10% taxable equivalent yields. Forward earnings estimates have stopped falling and are now rising, with +11% and +12% EPS growth forecasted for 2024 and 2025...(read more).