Last week of market growth?

Markets have risen on a strong earnings season but lack clear catalysts, raising the risk of a near-term pullback. More than 80% of companies have beaten estimates, with Q1 earnings growth near 16%, underpinning recent gains in the S&P 500. Tesla surprised on revenue ($22.39B, +15.8% YoY) and EPS ($0.41 vs $0.36 expected) but fell after announcing a jump in planned capex to $25B in 2026. Attention now shifts to heavyweight tech reports from Microsoft, Amazon, Alphabet and Meta, where investors will be looking for stronger cloud growth, AI monetization and margin/profitability evidence; any cost pressures could trigger weakness and broader index spillovers. Geopolitical and energy risks (Strait of Hormuz, persistent inflation) limit central-bank easing prospects at the ECB, BoE and Fed, reducing the likelihood of policy-driven upside. Overall sentiment is mixed: earnings support the rally, but scarce fresh catalysts and policy/energy risks leave the market vulnerable to a pullback.