Lee Munson and Patrick Kirts comment the S&P 500 price-to-earnings ratio. Part two of two. Published on Seeking Alpha

In part I we reviewed Standard and Poor’s earning estimates for 2009-10. They expect corporate earnings to continue with a slow climb throughout 2009, leading to a significant rebound in the trailing P/E in the fourth quarter, once 2008 losses are completely purged from the system. S & P’s scenario seems to assume that, once the 2008 losses are absorbed, a sort of muted business-as-usual will take over.

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Tags: earnings, Frontline Weekly, lee munson, PE, price-to-earnings ratio, S&P 500, SDS, SPY, SSO, Standard and Poor's