Enough of a Reason to Get Out of US Stocks...NOW!
December 21, 2010
– Comments (16)
USA Today Headline:
"In 2011, it's all about stocks"5 top experts agree: New year's looking great for stocks, not so great for bonds By Adam Shell
USA TODAY
17 Dec 10
http://www.usatoday.com/printedition/money/20101217/investmentroundtable17_cv.art.htm
NEW YORK — Five Wall Street heavyweights say it's time for individual investors to shun the perceived safety of bonds — and get over their fear of the U.S. stock market — so they can take advantage of what they predict will be a third straight year of solid gains for stocks in 2011.
....
Abby Joseph Cohen, Goldman Sachs:
"When the economy does better, things like stocks and commodities tend to rise in price. U.S. equities are now trading between 13 and 14 times earnings, and that is significantly below the historical average. That suggests that there's good value there. Our 12-month market forecast for the S&P is 1450, (a 17% jump from Thursday's close of 1243"
MY COMMENT: The only thing more bearish then quoting permabull GS Abby Cohen in the front pages of the MSM would be your capitial city being taken out by nuclear weapon.
My Previous Posts on bull killer GS' AC 19 Sep 10 and 05 Dec 07:
Goldman Sach's Abby Cohen is Back with More Insane Calls
September 19, 2010 – Comments (0) | RELATED TICKERS: GS
Unlike NAR's David Lereah (http://davidlereahwatch.blogspot.com/) Abby Cohen does not know when to quit.
I posted to get out of stocks in DEC 2007 after after Cohen called for a 14% rise in the S&P in 2008.
Here is my post in DEC 2007:
SEL! SELL! SELL!!!!!!!!! Bear Market Confirmed! Goldman's Abby Cohen calls for S&P 500 Rising 14% by 2008'
December 05, 2007 – Comments (4) | ADD RELATED TICKERS
Goldman's Cohen Sees S&P 500 Rising 14% by 2008's End
Abby Joseph Cohen was one of the most famous perma-bulls of the late 20th century. She was quoted everywhere. The market was going up. She kept predicting that it would go higher . . . even in 2000, after the tech stock collapse.
Now she says the S&P 500 will rise by 14% in 2008.
That is a bear market indicator -- not primary. She is always bullish. But it's a secondary indicator.
She stayed bullish on computer-related stocks for too long as the S&P 500 suffered a bear market from March 2000 to October 2002. Cohen said in October 2000 that technology shares would be a good investment in 2001. The S&P 500 Information Technology Index tumbled 26 percent that year. . . .
In December 2006, Cohen said the S&P 500 would climb to a record 1,550 this year. The index surpassed that level in July and went on to reach an all-time high of 1,565.15 in October. The S&P 500 then dropped 10.1 percent through Nov. 26, the steepest loss in four years.
http://www.bloomberg.com/apps/news?pid=20601087&sid=a......
RSS Headlines
