Greedflation Aside, Corporate Profitability Is Feeling The Squeeze

Given all the media attention afforded to so-called "greedflation" (typically defined by reference to near-record corporate profits), it'd be easy to come away thinking margins haven't compressed at all. While it's certainly true that corporate profitability remains very, very elevated, margins are under pressure. The negative operating leverage thesis did play out, even if you didn't notice. In 2022, quite a few US corporate heavyweights conceded a costly error: They extrapolated pandemic tre