Forget midterms. Focus on stock buybacks as firms mull raising repurchases

Although many might say the slowdown in October was due to companies taking a break as they reported earnings, the JPMorgan strategists pointed out how buybacks peaked for the year in July

The broad market for equities as measured by the MSCI USA Index of stocks rallied Monday. That gauge has now risen in four of the past five trading days, an impressive performance given how bleak the outlook for stocks seemed to be a week ago. One might be tempted to link the rebound with optimism for some change in Washington with the midterm elections coming on Tuesday. That would be a mistake for a number of reasons.

Instead, this mini renaissance in stocks is all about buybacks and the expectation that companies will ramp up repurchases now that earnings season is