S&P 500 Ready to SURGE
July 7th, 2008, 6:32 pm. Posted under Market Commentary by AppleOption.
Well… maybe?
According to Ian Scott, Lehman’s global strategist, a predicted S&P 500 advance of 27 percent to 1,630 before then end of 2008.
Meanwhile, David Bianco at UBS says the index will increase at least 25 percent before the end of the year. The S&P 500’s rebound “is going to be one of the greatest roars we’ve seen!” “The market has way too many fears baked into the valuation right now. The fear out there is the earnings are about to collapse and interest rates are about to surge on inflationary fears. Neither is going to happen.”
The only way for that to happen this year is to have Oil Crash and earnings would need to jump 50 percent in the fourth quarter. Bloomberg.com has an article that discusses the historical likilhood of this to actually come true.