Economy

The end of stock market corrections

Illustration: Eniola Odetunde/Axios

Normally the health of business drives a country's asset prices, but that's not what's happening at the moment, according to Deutsche Bank Securities chief economist Torsten Slok.

What's happening: The S&P 500 has risen by around 20% so far this year, despite weakening U.S. economic data and a slowing labor market. Earnings growth, typically the bread and butter of equity market returns, was negative in the second quarter and is expected to be negative in the third and fourth quarters as well.

The striking upward mobility gap between black and white men

Reproduced from Chetty, et. al, 2018, "Race and Economic Opportunity in the United States: An Intergenerational Perspective"; Note: Location based on where men grew up; Map: Axios Visuals

The fastest-growing cities in the U.S. may be adding lots of jobs for well-off people, but many have low rates of upward mobility for lower-income kids growing up there. And it's especially bleak for black males, according to Raj Chetty, Harvard economics professor and director of Opportunity Insights, a research and policy organization.

Why it matters: The extent of racial disparities and economic mobility "is so extreme in the U.S. that it's almost like they're two Americas," Chetty said about the maps above.