Factset provided their Q2 share buyback data this morning, so here’s an update….

buybacks + insider selling =market peak

Factset indicated Q2 buybacks dropped noticeably.  Given that share buybacks have been the main driver of S&P500 earnings per share growth over the past 2-3 years (hello P/E expansion!), a continued drop in buybacks would likely now begin to have a detrimental  impact on reported eps growth.  Share buybacks are going to roll over and drop, but first I expect a final bounce in buyback activity in Q3.