Stocks Priced for ‘Sunshine and Rainbows’ Now Face Earnings Test


The steep decline in crude prices this spring as the tensions appeared to cool is set to boost earnings for stocks in countries that are predominantly oil importers, including Japan, South Korea, India and Taiwan. The lower costs are also likely to boost margins in energy-intensive sectors, such as airlines, petrochemicals, utilities and consumer staples. But with the airstrikes continuing, those higher prices could reappear in the second half.



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