Re: 2011 - Predictions ( Financial )
Posted: Fri Dec 24, 2010 6:08 am
5 pages of bed-time reading. Yawn Yawn ...
Outlook 2011 By KOPIN TAN
Our group of investment experts sees stocks continuing their climb next year as the economic recovery takes root.
"THERE'S A GROWING SENSE that not every problem will be enough to topple the market," says Jeff Knight, head of Putnam Investments' global-asset allocation.
"THE ECONOMY IS MOVING in a way that should cause confidence to improve, and that will affect everything from hiring to dividend payouts to consumer spending and equity-mutual-fund flows," says David Kelly, JPMorgan Funds' chief market strategist.
WILL MAIN STREET SHARE Wall Street's enthusiasm?
INFLATION MAY ALSO THICKEN the plot by that time.
SOME THOUGHTS on the strategists' sector selection:
• Technology is favored by eight of our strategists and shunned by none. The beloved sector can seem sexy and safe at the same time -- it's hitched to business spending and global growth, holds the allure of improved productivity for cost-conscious employers, and is backed by the deepest pockets. But is it becoming a crowded trade? Many individual investors burnt by the tech bubble are still wary, but when they start coming around, be careful.
• The new pariahs are utilities and health care, which between them amassed 12 disses and just one nod. Contrast these with energy and industrials, each favored by five strategists and avoided by none.
• Given the uncertain pace of the housing-market recovery, banks' exposure to sovereign debt problems, and the fragile state of consumer confidence, most strategists are neutral on the financial and consumer-discretionary sectors. The few who weighed in are split.
http://online.barrons.com/article/SB500 ... rticle%3D1
Outlook 2011 By KOPIN TAN
Our group of investment experts sees stocks continuing their climb next year as the economic recovery takes root.
"THERE'S A GROWING SENSE that not every problem will be enough to topple the market," says Jeff Knight, head of Putnam Investments' global-asset allocation.
"THE ECONOMY IS MOVING in a way that should cause confidence to improve, and that will affect everything from hiring to dividend payouts to consumer spending and equity-mutual-fund flows," says David Kelly, JPMorgan Funds' chief market strategist.
WILL MAIN STREET SHARE Wall Street's enthusiasm?
INFLATION MAY ALSO THICKEN the plot by that time.
SOME THOUGHTS on the strategists' sector selection:
• Technology is favored by eight of our strategists and shunned by none. The beloved sector can seem sexy and safe at the same time -- it's hitched to business spending and global growth, holds the allure of improved productivity for cost-conscious employers, and is backed by the deepest pockets. But is it becoming a crowded trade? Many individual investors burnt by the tech bubble are still wary, but when they start coming around, be careful.
• The new pariahs are utilities and health care, which between them amassed 12 disses and just one nod. Contrast these with energy and industrials, each favored by five strategists and avoided by none.
• Given the uncertain pace of the housing-market recovery, banks' exposure to sovereign debt problems, and the fragile state of consumer confidence, most strategists are neutral on the financial and consumer-discretionary sectors. The few who weighed in are split.
http://online.barrons.com/article/SB500 ... rticle%3D1