Now that second quarter earnings season has passed, investors have begun to look at what the third quarter has in store, especially since many companies will be affected by the recent turmoil in credit markets. Below we highlight the 4-week percentage change in third quarter earnings estimates by sector. As shown, there have been cuts in estimates recently, but not by much. Financials, who have been the most directly impacted, have seen their third quarter estimates fall by just 1.35% in the last month - even less than the Utilities sector. On the positive side, Telecom, Consumer Discretionary, Technology, Health Care and Industrials have seen their earnings estimates rise. For the S&P 500 as a whole, third quarter earnings estimates have fallen by -0.60%.
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