eFXdata reports that Bank of America Global Research discusses its expectations for S&P 500 Q2 earnings season. 

"S&P 500 2Q earnings season has kicked off this week with results from the banks. We expect EPS to beat expectations, and forecast an 8% beat: $25.00 (-39% YoY, the trough in quarterly profits growth) vs analysts' $23.14 (-44% YoY).  While we expect a beat, this may not be enough to drive the market higher; outlooks will be key, and record earnings uncertainty may keep performance reactions in check," BofA notes. 

Five factors to watch: (1) alpha from results, where positive forward-looking commentary may be necessary to drive more upside, (2) earnings visibility, where guidance instances have fallen to post-Reg-FD lows, putting the S&P's transparency premium at risk, (3) margins, which began to collapse in 1Q (driven by tech), (4) cash returns, where we think S&P 500 dividend cuts are likely behind us, and (5) capex, where guidance is at post-crisis lows," BofA adds.