Wednesday, January 26, 2011

Jeremy Grantham – US Market Outlook 2011

Jeremy Grantham's 4Q Client Letter is out!

Summary of Key points to note:

  1. Be prepared for a strong market, Year 3 of Presidential Cycle typically does well.

  2. But beware. S&P500 worth 910.

  3. If S&P500 rises to 1500 by October 2011, if market and economy could survive small possibilities of double-dips, you shld probably be thinking much more conservatively. It would officially be the latest true bubble!

  4. All famous bubbles broke only after short rates had started to rise. Only a couple broke in midst of declining rates.

  5. If commodity prices rise so large in next few months, governmental policies in emerging markets might put a stop to the global equity bull market.

No comments:

DJIA 7thYear Itch -Will 2017 be Itchy? (Part 3)

Coming up is Friday the 13th October 2017! It is a PI day!   3.14 x 1000 = 3140 days from DJIA bottom on March 9 2009! Just noticed that...