Over the past few months, U.S. economic data has been much more resilient than the rest of the world, and this had led to stronger earnings growth and revisions for American companies, according to Credit Suisse.
Part of the reason that U.S. companies are outperforming their international peers is tax reform.
According to a note from Credit Suisse, expectations for revenue, earnings and earnings per share (EPS) growth in the first-quarter for developed markets outside the U.S. and Canada (EAFE) were 3.9%, 6.9%, and 6.4%, respectively. Among the companies that have already released their quarterly reports, EPS results beat by 1.5%, with revenues surprising by 0.4%.
European and Japanese earnings are projected to increase by 7.2% and 6.1%, respectively. So far, European companies have exceeded bottom-line projections by 2.2% whereas Japanese firms disappointed by -0.6%.
The complete story here > Trump tax reform cements US as world economic leader